Correct,
Although you may also want the "Free shipper" and "Store pickup" enabled if these are applicable.
Correct.
There isn't much that you can do 'wrong', so I'm guessing your problem is with the 'or something'.
The ozpost module does have a couple of yet to be documented requirements.
1. The web server you are using needs to have php5.1 or 5.2 installed (not php5.3, as this causes other problems).
2. You will probably need to enable the 'use cURL' option in the ozpost admin settings. (It appears a "recent" change of servers has caused a problem for some people when using the non cURL method).
If you still experience problems after satisfying the two requirements specified, it is probably caused by invalid input data, such as entering the weights of your products in Kgs, but specifying the weight setting in the ozpost module as 'gms'.
Anyway, if you do still have issues after confirming the php version and cURL setting, please supply the URL for your store so that I can help with further debugging.
Cheers
Rod
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