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In this video tutorial, you will learn how to properly set up business letters in Microsoft Word. The first step is to adjust the top margin from the default 1 inch to 2 inches. To do this, navigate to Page Layout, select Margins, and then choose Custom Margins at the bottom. Change the top margin to 2 inches by typing it in and pressing OK. Next, the tutorial will guide you on changing the font style, size, and some spacing options before you continue typing your letter. These adjustments are essential for creating a professional-looking document.