#1:
You can directly plug your monitor to the vga-connector. No need to worry about those two other connectors. I recommend you to use Picasso96 (Downloads @
http://amiga.serveftp.net/) as a RTG software instead of that Retina 2.3.
#2:
Are you sure you a using correct ip (192.1.168.122 doesn't sound correct). Does ping work between your machines?