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The video tutorial demonstrates running a code that prompts for single letter commands to interact with a database. The commands include displaying existing records, adding new records, and modifying existing ones. The process involves entering details such as CD name, artist, number of tracks, and rating. The tutorial shows adding a new record and modifying an existing one by seeking to a specific record and making changes to the details. The demonstration exhibits the functionality of the code by successfully displaying the updated records in the database.