"The bread is stuffed with cheese."
Translation:Panis est fartus caseo.
Well, not exactly. This sentence does not have a direct object. Est is linking two nominal phrases (that is, it's a "copula"). In Latin the verb in a copulative construction very often comes inbetween its two arguments "X est Y", "M sunt N".
That said, your version of the sentence is also perfectly fine.
In general, Latin word order is a complex topic with a lot of nuance that this course doesn't explicitly teach.