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This page will let you manage the censored words of your forum. On this page you will see a place to enter the word you want to censor and another to enter as the replacement of that word when somebody types that word in a post.
There are also two checkboxes, one to check whole words only and the other to ignore the case. I think these are self explanatory.
You can test the censored word in the bottom box. Enter the word you've censored and click Test. It should show you the new replacement word in the same place.