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Where do you find the option to display a bulleted list word by word?
In the Effect Options dialog box for any specific text effect.
On the Add Effect menu in the task pane.
Using custom animation, the quickest way to animate a bulleted or numbered list line by line is:
Select the first line (technically, a paragraph), apply an effect, then select the next line and apply an effect, and repeat for the whole list.
Drag to select all the text in the list and then apply the effect.
Click the list and add an effect.