A correction and a follow-up. "menclose breaks reflow" was too broad. On a Paperwhite 2024 with firmware 5.20.1, a menclose with notation="longdiv" locks the whole book into a fixed page, and so does a bare <menclose>, because longdiv is the MathML default (that is what my first test book had). notation="box" is fine: the frame is drawn and the text reflows.
I put the test books up, one case per book plus a control, so anyone can repeat this:
https://dropkind.app/kindle-lab#menclose-longdiv (CC0 copies at
https://github.com/kryzhovnik/kindle-lab). Results from a Scribe, a Colorsoft, the phone apps or a non-US account would be the most useful.