UPDATE: IT IS WORKING!
Someone on the Apple Community posted the below. I followed it, and it is working. And, both on my MacMini 15.7.1 and Tahoe MBP...
"What fixed the problem for me on my Macbook Air '13 (2025) is adding multiple accounts before adding Microsoft Exchange, such as Yahoo, Google etc. After that I tried it again, and worked without “failed authentication or unverified account” problems."
Someone on the Apple Community posted the below. I followed it, and it is working. And, both on my MacMini 15.7.1 and Tahoe MBP...
"What fixed the problem for me on my Macbook Air '13 (2025) is adding multiple accounts before adding Microsoft Exchange, such as Yahoo, Google etc. After that I tried it again, and worked without “failed authentication or unverified account” problems."