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Kevin demonstrates how to create a fillable form in Microsoft Word. He explains that a fillable form allows users to complete it without altering the questions or the form's structure. Different elements like check boxes, text fields, drop-down lists, and date pickers can be used in the form. Once completed, forms can be emailed, printed, or potentially linked to a database, though the latter is not covered in this tutorial. Kevin provides sample files for viewers to follow along and starts with an existing order form for the Kevin Cookie Company, guiding viewers through the process.