Processes in Microsoft 365 for setting up Office apps, redeeming product keys, and activating licenses.
I had the same issue on macOS Tahoe 26.6.
Microsoft online assistance (real people chatting with me via my paid O365 subscription) led me to a solution that I had not seen in another forum. The assistance was very helpful.
The solution was to toggle in System Settings -> Files & Folders -> Microsoft Excel -> buttons back-and-forth. In my case I only had the iCloud Drive toggle switch. Toggling that single switch back-and-forth and then closing/reopening the Mac Excel app allowed me enter cell/formula bar data again.