Relieved to know that you are trying on a test server first!
Anything red in the "Environment" is not good. Check the release notes linked from the chart.
About the target Moodle version: Under the system software you have, my favorite would be 3.11 LTS, since it was LTS.
Even without that, the transition to Moodle 4 was a "generation change" with lot of visible (look-and-feel) changes. Some ware more happy than the others. ;) My personal choice would be to spend some time in 3.11 LTS and aim for 4.3 as the next target. 3.11 > 4.3 long jump is supported. (See the chart) Some ups-and-downs of the initial 4 versions were ironed out by then.
About the target Moodle version: Under the system software you have, my favorite would be 3.11 LTS, since it was LTS.
Even without that, the transition to Moodle 4 was a "generation change" with lot of visible (look-and-feel) changes. Some ware more happy than the others. ;) My personal choice would be to spend some time in 3.11 LTS and aim for 4.3 as the next target. 3.11 > 4.3 long jump is supported. (See the chart) Some ups-and-downs of the initial 4 versions were ironed out by then.
P.S. I should have added about the themes that the following line will force Moodle to its default (and must have) theme Boost, possibly allowing you to uninstall the other themes from the admin GUI:
$CFG->theme='boost';