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To format references with a hanging indent and to alphabetize them, follow these steps: First, select all the references and go to the Paragraph settings (right-click on Mac). In the Paragraph menu, find the "Special" option and select "Hanging." Ensure the line spacing is set to "Double," then click OK. This will format the references with a hanging indent. Next, to alphabetize the references, select all of them again. Click on the "A to Z" button at the top to arrange them in alphabetical order, leaving the paragraph settings unchanged. Finally, click OK, and all your references will be alphabetized.