1. If by "appropriate" you mean a genuine Windows you probably will not be able to find one. Home Premium is the best value unless you know you need a feature it does not include.
2. Pretty sure you cannot do an "upgrade" install; thus you will "retain" no programs installed in XP.
3. Install the chipset drivers first, then all other needed ones, and then get all important Windows updates.
What have you done to determine that this PC will support Windows 7?
Are you going to make sure that you can "get back to" XP if Windows 7 does not work satisfactorily?
2. Pretty sure you cannot do an "upgrade" install; thus you will "retain" no programs installed in XP.
3. Install the chipset drivers first, then all other needed ones, and then get all important Windows updates.
What have you done to determine that this PC will support Windows 7?
Are you going to make sure that you can "get back to" XP if Windows 7 does not work satisfactorily?