Greetings Morries Glories! Welcome to the Windows 7 Forum!
I hope we'll be of some assistance for you... if not, please let us know.
Let's take your questions in the order you've submitted them.
1. You CANNOT upgrade from 32 bit to 64 bit. You will have to do a clean install of the 64 bit OS. Remember to set your DVD drive to be the first bootable drive in the BIOS and then put in the 64 bit disk and reboot from there. You'll see a prompt stating: "
Press any key to boot from DVD/CD drive". Do that within 5 seconds and the install will begin.
Make sure you have downloaded all pertinent 64 bit hardware drivers and store them on a thumb drive, external hard drive or burn to a CD-RW disc so you have them after the install is done
2. Yes, all four cores of the AMD CPU will be recognized by Windows 7 64 bit. To be honest its more a matter of your motherboard recognizing the CPU versus the operating system. BE SURE you have the latest BIOS firmware update installed on your motherboard's CMOS.
3. You won't regret going the 64 bit route, it's a little quicker than 32 bit, but you'll really notice a difference when you decide to add more RAM. With 4 - 6 GB of RAM your system will be quite quick.
Just remember it will take a new clean install, Okay? Be sure to reformat your hard drive or partition you'll be installing it to.
Also double-check all your settings in the BIOS, some motherboards have a 32 bit or 64 bit setting in either the peripheral or power setting section. Be sure to consult your motherboard's manual to apply the proper settings. It's the ACPI setting in the BIOS.