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In this tutorial, the presenter explains how to properly format dates in Excel when they are initially in text format. The process begins by navigating to the Data tab and selecting "Text to Columns." Users should ensure "Delimited" is selected, then click through the prompts until reaching a dialog box where they can specify the date format as "mdy." Finalizing this step converts the text to date format. The presenter then demonstrates how to open the Format Cells dialog (using Ctrl+1) to adjust the display format according to user preferences, such as displaying the date in "mmm - YY" format.