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Default VBA drop down list help

How can I create a VBA drop down list that will fire when the user selects a
certain cell from column e within a worksheet1. In addition I would like the
drop down to list text from another worksheet2 say column a, when the user
selects a name from this list it will populate the cell on worksheet1 with a
value/text from another column say column b from worksheet2.
I am trying to create a company list and to speed up the data entry and not
have to look up state abbreviations I would like to select the state name
from a drop down list and have it enter the abbreviation into the selected
cell.
I have tried to use the Data Validation tool, however it will only return
the name from the list. I am looking for a little bit more then it can offer.

 
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