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Default Automatic row height adjust

I have merged three cells in the same row for the user to enter a description
and formatted the cell to wrap the text. The intent is for the row height to
adjust automatically when a long string is entered, and currently it is not.
I have other spreadsheets where it does and I have taken for granted that
this will happen automatically.
Is there a setting or format that I have missed?

Thanks for your help
 
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