Explanation:

In Microsoft Word, the Outline layout allows headings to be displayed while hiding the text under them. This layout is particularly useful when creating structured documents with multiple levels of headings and subheadings.

The Outline layout provides an organized structure to your document, making it easier to navigate and edit. It allows you to create a hierarchical outline by applying different heading styles to different sections of your document.

Here's how the Outline layout works in Microsoft Word:

1. Applying Heading Styles:
To create an outline in Word, you need to apply different heading styles to your headings and subheadings. Heading styles are predefined formatting options that can be applied to text to create a consistent and hierarchical structure.

2. Viewing the Outline:
Once you have applied heading styles to your document, you can switch to the Outline layout to view the outline. To do this, go to the "View" tab in the Word ribbon and click on the "Outline" button in the "Views" group.

3. Collapsing and Expanding Headings:
In the Outline layout, you can collapse or expand headings to hide or display the text under them. This is particularly useful when working with long documents or when you want to focus on specific sections of your document.

4. Rearranging Headings:
Another advantage of the Outline layout is that it allows you to easily rearrange headings and subheadings. You can simply drag and drop headings to change their order or promote/demote them to different levels.

5. Navigating the Outline:
The Outline layout also provides a convenient way to navigate through your document. You can click on the plus (+) and minus (-) signs next to the headings to expand or collapse sections. You can also use the navigation pane on the left side of the screen to quickly jump to different sections of your document.

In conclusion, the Outline layout in Microsoft Word allows headings to be displayed while hiding the text under them. It provides an organized and hierarchical structure to your document, making it easier to navigate, edit, and rearrange sections.