Yes, that's the right spot, Deb. You can change the resolution to any of the other options, but the highest is always recommended. If you change it, you can always go back, but I have to say, it's kinda scary the first time because everything goes dark temporarily. To change it back, you'll have to find the setting the same way you did the first time, so you might want to write down exactly how you got to that point before you do any actions.
On Windows 7, you can also right click anywhere in the background of your desktop>>>personalize>>> display>>>adjust resolution.