Can vbseo help me correct these things?

You don't HAVE to do anything, but if you're installed in /forum, all of your articles/etc will be based off of that folder path.

I'm sorry, but I'm a newb as you can tell. I'm trying my best to educate myself.

Is this what you are referring to?

vBulletin Community Forum - FAQ: How to install CMS in Root, Forums in subdirectory

Does the mean I just have to create those 5 files and put them in root? That's it?

Or do I have to delete those same files within the /forums folder once I create them in root directory?

No, You should avoid vb's settings completely. They are not compatible with vbseo.
vB4 'component urls' should not be used