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Preheat oven to 375°F. For the Cocktail Meatballs, mix Gravy Mix, ground beef, horseradish, parsley, basil and pepper in large bowl until well blended. Shape into 1-inch balls. Place on foil-lined baking pan.
Bake 10 to 15 minutes or until cooked through.
Meanwhile, for the Honey Mustard Sauce, add ground mustard into small bowl. Stir to break up any lumps. Add mayonnaise and honey; stir until smooth. Serve with meatballs.