you have a very good machine there. you probably can get more ram but is likely to be the annoying custom simms that gvp made and they tend to cost more. 4 meg is bare minimum i would say. you probably need 8 or more to get on the net. pc0: is the dosdriver for ms formatted disks. you probably have a file in sys:devs/dosdriver called pc0 or pc1. move it to sys:storage/dosdrivers if you don't want to format your floppies to msdos.
the thing is with your picasso card plugged in, unless its a picasso 4 you won't see games on your monitor. you may be able to take the output of your flicker-fixer IF IT SCAN_DOUBLES AS WELL AS FLICKER FIX and see them that way.
i mainly play games and do a bit with scala
