Very well. OP, if you need complete compatibility with (Windows) Office, I suggest leveraging bootcamp + Windows + Office. If you'd like to run Office while you run OS X, add Parallels.
If you need near complete compatibility with and functionality of Office, the Office bundle for Mac is pretty close. Along with the 365 subscription option identified in post #2, note that Microsoft also sells all 3 off subscription as a "Home & Student Edition" bundle:
https://products.office.com/en-us/home-and-student
If you need only basic-to-moderate Word Processing & Spreadsheet functionality that can export to and import from Office with varying degrees of (complete) success, try Pages & Numbers. But be prepared for that exporting & importing to yield different outcomes than intended. If you will be collaborating with others using Office, you'll probably become frustrated at what those programs can't import and/or export well. The third piece- Keynote- is actually quite a good competitor with Power Point though, again, exporting and importing to/from Power Point is likely to yield different-than-intended results.
MikeeW, no offense. I'm simply sympathetic to newbies being pushed toward all Apple solutions in seemingly every thread. I read your post and "equivalent" seemed too easily taken to mean "the same as" or "very similar to" rather than just a bundle of 3 pieces of software that are also a Word Processor, Spreadsheet and Presentation bundle. I can argue that iWork is good software (I use it myself every day) but it is no Office. If OP needs Office, as implied by their post #1, they probably need Office, not Office Jr or Office Jr Jr that is iWorks (IMO).