ALL of the above comments are absolutely correct- I would add only that just offhand I can think of 2 common applications on cars where use of a torque wrench is essential -Cylinder head bolts and trans pan bolts.
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There are two basic kinds of torque wrenches - the "needle" kind and the "clicker" kind. The "needle" kind, which are wildly inaccurate and therefore pretty much worthless, have a needle which moves across a scale which supposedly shows the torque being applied. The "clicker" kind allow for the desired torque to be "dialed in" - usually by means of turning the base of the handle which moves to the desired torque setting on a scale in the handle; once set, the wrench will emit an audible "click" when a fastener (usually a nut) is tightened to the torque level at which it's set. When torquing wheel lug nuts, you should always work "crosswise" or in a star pattern rather than simply working your way around the lug nuts in a circle; this will ensure a closer torque setting. Once all lug nuts have been torqued this way, you should then work circularly around the nuts to double-check the torque setting. Wheel nut torque settings should be re-checked after each on-track session.