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The video tutorial explains how to navigate and customize a default form created automatically. It outlines that standard fields are already visible on the form. To rearrange fields, users can simply click and drag them to the desired location. To delete an unwanted field, such as attachments, users can click the 'X' to remove it. The tutorial also notes that some fields may not appear by default but can be added by dragging them from the list column area onto the form. Additionally, it mentions that certain fields provided by SharePoint are not active but can still be included if needed.