A lookup table is basically a table of values that are acquired by some algorithm or other. For example, a Sin lookup table would be made by running through 0 to 359 and assigning those values to their appropriate indices in the lookup table, e.g.:
Local SinTable#[359]
For i = 0 To 359
SinTabe[i] = Sin(i)
Next
In using these you can signifigantly speed up mathematical operations because you do not need to perform intensive CPU algorithms more than once at the beginning of the application's startup (assuming you want to generate the tables there and not during runtime).
In a sense you could use them to manipulate the screen by containing pointers to various positions on the screen in a lookup table, letting you get at the positions without scanning for the pointers. But then that's not a very good idea, since the pointers could change. But otherwise lookup tables have nothing to do with manipulating the screen.
That's how I see lookup tables, anyway. I've actually got a large math book full of sin/cos/etc. lookup tables. Very handy when you don't have a calculator.