I've got a keyboard the size of the EEE that I can take into data centers to hook up to servers. It's not good for anything but touch typing at best.
However, OpenOffice, as you'll find out, is about 95% compatible with Word, and actually can recover many corrupt Word and Excel documents because it's been built by reverse-engineering Office documents.
You can put up to 2GB RAM in there, and I recommend you do so. Also, you can put in SDHC cards (up to 16GB I've read), and I recommend that. You can also plug in a keyboard, mouse, and monitor via USB and VGA if you wish to have a bigger screen.
This is a nice little PC, and it fits in smaller places than used a laptop

.