FIND locates the position of the space character inside the full name string — for Alice Johnson that position is 6.
LEFT takes the characters from the start up to but not including that position: LEFT(A2,6-1) returns the first 5 characters, which is Alice.
MID starts one character after the space: MID(A2,6+1,LEN(A2)) starts at position 7 and takes up to LEN(A2) characters, which always captures the rest of the string regardless of length — returning Johnson. LEN(A2) as the length argument is a safe overcount because MID simply stops at the end of the string when there are no more characters. This two-formula pattern works perfectly for simple First Last names. For names with middle names, the first-name formula is unchanged but the last-name formula needs to find the last space rather than the first, which uses a SUBSTITUTE trick to replace only the final space with a unique marker. In Excel 365 and modern Google Sheets, the TEXTSPLIT function handles all of this in one formula with a space as the delimiter.