Hello,
Thank you for the greeting and detailed response!
I have been working on this issue for the past few days and it was finally resolved. It seems the timing of the resolution coincided with your post. I was in the process of composing a status when I saw your post. I apologize for any inconvenience. I appreciate all you have done.
There were several issues. The main problem was the initial installation failure of Windows 7 Service Pack 1. I believe it caused further complications. Once Win7 SP1 was installed successfully, Windows Update and Windows Defender were able to successfully update. Then the subsequent Windows Updates were installed, which was very time consuming.
WindowsUpdateDiagnostic is no longer reporting an error.
Apparently a prior installation of Avast left behind some files after it was uninstalled. avastclear, Avast Software Uninstall Utility, did not remove those residual files. I removed those files myself.
System Readiness Tool and SFCFix are no longer reporting those results.
Thank you for your time.