How do I copy files from host box to MacOS VM

I have tried the following things

1. Drag and Drop
   Icon simply snaps back
2. Editing preferences on 12.5.1 VM (to Share a folder)
   Which does not exist (gear icon missing)
   
3. Copy and Paste

Note: Gear icon exists for Windows 11 VM and for Ubuntu. The 3 above work

 

I have installed Par Tools on the first box and that gets me to the internet still cannot do anything else above.

 

I updated to 18 and still have the same issues. Why can't modify the VM configuration for a Macintosh based VM on M1? Somebody please help.