I need something that can work with bulleted headings and can automatically create a table of contents. I have headings and sub-headings which are all bulleted lists which makes it easy to see it in the navigation pane in microsoft word. Is there an app that can help me do this?

Hmmm, you seem to need a very robust word processor application. I think Pages, by far the best word processing app on the iPad right now still can't quite handle what you're looking for. Your best bet would be to use a remote desktop control app like TeamViewer to access a remote computer and use a desktop word processor like MS Word. The only caveat is you need an internet connection.

Try the Pages app for iPad