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In this tutorial, Sarah Banks from Banks in Business Solutions teaches how to create a basic invoice template in Microsoft Word. She begins with a blank Word document that already features her logo in the header. Sarah references a previous video for adding the logo and focuses on setting up the invoice template. She selects the preset heading style for the document title, which she designates as "Invoice." Key information to include on the invoice includes the recipient's name and address, the invoice date, and an invoice number. This foundational setup aims to organize essential details needed for a professional invoice format.