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In this video tutorial, you'll learn to set up business letters in Microsoft Word. First, adjust the top margin from 1 inch to 2 inches by navigating to Page Layout, selecting Margins, and choosing Custom Margins. Input "2" for the top margin and click OK. After this, the cursor will drop down to reflect the new margin. Next, you'll change the font style, size, and spacing options. These preliminary adjustments are essential before typing the letter, ensuring a professional presentation.