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If you don’t have audiobook option, it may be because you cannot purchase any in your region (Canada?). It doesn’t depend on having downloaded audiobooks, and I don’t think you need to have an Audible account linked to have them show up.
This could also explain the lack of Series Grouping toggle, though not why they group anyway: the feature should be tied the the storefront you use, and I don’t know which regions it is available in other than the US.
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