It's a rather confused post, so I don't quite know where to start.
When you created the new account, what sort of account was it: Administrator, Standard or Guest?
When you installed Office 2007, where did you install it to? It's default location is C:\Program Files (x86)\Microsoft Office
If nothing is working in the new user account it must be corrupted in some way and the best way to deal with it is to delete it, restart your computer, and then create a fresh account.