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In this video tutorial, you'll learn how to set up business letters in Microsoft Word. Start by adjusting the top margin from the default 1 inch to 2 inches. To do this, go to the page layout, click on margins, and select custom margins. Change the top margin to 2 inches by typing it directly in the box for efficiency, then press OK. You'll observe that the cursor moves down to reflect the new margin. Subsequently, the tutorial will guide you on modifying the font style, size, and spacing options for your letter.