Without plugging the bread machine into a power outlet, open the lid, and remove the baking pan. Clean the baking pan, if necessary, and attach the kneading blade to the pan.
Measure 1 3/8 cups of room-temperature water, and pour it in the baking pan. Add 2 tablespoons of softened butter or margarine to the pan.
Measure 4 cups of bread flour by overfilling a measuring cup and then leveling the flour with a knife or spatula. Pour the flour into the baking pan. Add 2 tablespoons of sugar, 2 tablespoons of dry milk, and 1 3/4 teaspoons of salt to the pan.
With your finger, form a hole in the flour about 2 inches in diameter. Measure 2 1/4 teaspoons of active dry yeast, and pour it in the hole, making sure the yeast does not come into contact with any wet ingredients.
Insert the baking pan into the bread machine, close the lid of the machine, and plug the power cord into a wall outlet. Press the Crust Color button to select a setting, such as Medium, and then read the time setting to learn how long the machine needs to bake the bread.
Press the Start/Stop button. The machine begins to mix the ingredients. During the baking cycle, the machine kneads, shapes and bakes the bread.