Starting Up, creating MySQL database

Hello, 3 questions: 

1. I created a folder (directory although my panel calls it subdirectory, well you can see it below) called public_html where I put the already unzipped elgg through ftp, then I created "data" see below, but now how do you create the database? This is what I find on my control panel: 

Database Setup image Database status   Database administrator   Install admin tool   Upgrade admin tool   Database Utilities   Backup database   Repair database   Restore database   Database Help          MySQL Database Status Your database is active. 

SO I guess the database already exists... ?? So I clicked on Upgrade? and this came up. Excuse my ignorance, thanks in advance.

how to database step 000.1