Folks, I had Exactly these problems with my new Mac Book Pro 1GB. I had Excel hanging on me and needing to force quit, PowerPoint was slow (latency problems.) I even had other apps. have problems with exiting (TextEdit, Camino) and needing to be Force Quit
The behavior I was seeing strongly suggested a couple things:
1. I was running out of memory
2. I had a weak (bad) SODIM
3. There was a Memory Management bug in OS X
The other day I went to my Apple store and put in another 1GB of Memory. WOW! What a difference! The Macbook runs NOTICEABLY faster. It's more snappy. My Office 2004 problems almost disappeared entirely.
I was only able to re-create the problems by having 16 apps. loaded and running: Finder, Dashboard, Address Book, Calendar, Safari, Camino, iTunes, Powerpoint, Excel, Word, Entourage, X11, Adobe, and TextEdit.
Use Activity Monitor, and switch to System Memeory and LOOK what is going on in your system. When I had that all loaded up, I had 0 Free Memory, and 15+GB of Virutal Memory allocated.
Now even if the system has ALL memory allocated, Apps should not hang - run excruciatingly slow, yes, but not hang. I strongly suspect there is a bug swimming around in OS X Memory Management, and rest assured Apple will find it.
Activity Monitor is a beautiful thing, and if you are having these problems, you should use it! I have had Word jump off into Never Never Land twice, and consume 190+% of my CPU's doing NOTHING (Application not Responding.) W/out Activity Monitor, I would have never known that I had only 2% of my CPU's left. (Force Quit or Quit Process in Activity Monitor will cure a wild Word.)
If you have 2GB of RAM already, and are having this problem, I would try pulling an SODIMM and see if the problem stays or goes. Only run 1-4 apps at a time for this test!! Then try swapping SODIMMS. If you can isolate the problem to 1 SODIMM, then get Apple (or whoever) to replace it. If pulling SODIMMs doe not allow you to isolate the problem, either you have 2 bad SODIMMS (unlikely,) or a bad logic board. Return it to Apple for repair or replacement.
IMHO, of course.