Due to my previous question about the difference between terms I would like to also know about the way literary words work, especially in written English, formal English and with taking the archaisms into account.
I know this may be a question that may require a broad answer or an opinion-based answer. So I'll be concise about the things I wish to know.
Does a literary word have to always be an archaism and does formal English allow using literary words in different kind of documents and reports?