You can paste or insert images onto a layout and then place your other layout objects on top, but this requires using a form view of your layout, not table or list view. Given that you are referring to an Excel spreadsheet, that may indicate that you have a list of records here like you'd use with list or table view and you'll have trouble dropping in any kind of background image that is likely to work with those views.
I need the "instructions" to be fixed on the right, while the left shows however many "records(just names)" there happen to be.
I suggest using a portal to a related table to list the names on a Form view layout. Your portal can use a scroll bar to list "however many names" and layout text to the left of the portal can show the instructions.
Okay I don't think that will really do what I need it to. What I'm trying to make is a sign-in sheet that is dynamic. So we hire someone, then for "x" amount of time they must sign-in. So the sheet needs consistant instructions to be printed on it, as well as a header, etc. But the number of rows and the names in those rows need to be dynamic, pulled from the table by a script. Below is an included photo from excel, this will give you a general idea of the format I need to create.
With that format, a portal is exactly what I would use for data entry.
If you put the instructions above or below the form, you could put this text in the header or footer. The result would look a little different, but be much more flexible to use.