Monterey 12.7.6 can still run supported Microsoft 365/Office builds, so a new computer is not required just to use Word, Excel, or Outlook.
For macOS Monterey, the most recent supported Microsoft 365/Office version is 16.89 (dated September 10, 2024). With an active Microsoft 365 Personal subscription, that version can be downloaded, installed, and activated on the existing Mac.
To proceed, install the latest Office version that supports Monterey (for example, following the guidance in “Most Recent Office You Can Run – Best Practices” referenced in the Q&A), then sign in with the Microsoft account used for the Microsoft 365 Personal subscription to activate it.
Cancellation of the subscription itself cannot be performed here. To cancel a Microsoft 365 trial or subscription, use the standard subscription management and cancellation options in the Microsoft account or the store where the subscription was purchased.
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