Php is a piece of software the is installed on the server by the hosting company, You could see it as part of the operating system.
Zen Cart uses this to work, but as php versions increase some things wont work anymore. A bit like old programs on a pc that worked on windows 95, but not on windows 10.
Yes you can simply move all thing up from the sub-folder. You will need to edit the 2 config.php files to reflect the new folders
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