This report studies the learning and use of computer applications programs--i.e., word processing programs, database management programs, and spreadsheets--in elementary and secondary school computer literacy courses. This study was designed to identify teachers' pedagogical assumptions and expectations underlying the use of applications software in the school classroom, and to specify targets of difficulties, especially recurrent difficulties encountered by students of even the most experienced teachers. Activities include a literature search, a questionnaire survey of elementary and secondary school teachers in 18 school districts, and classroom observations of 11 teachers learning to use Applewriter II, PFS File, and Visicalc. A tentative list of the targets of difficulties groups the problems in six areas: (1) keyboarding; (2) computer concepts; (3) operations within specific programs; (4) information management; (5) attitudes and beliefs; and (6) organizational constraints. Three appendixes provide cross tabulations of questionnaire responses by grade level. A thesaurus of keywords describing targets of difficulty for applications software and a sample database of difficulties arranged in outline format are included. (28 references) (EW)