Alrightyroo, here goes.
Congratulations on switching to Linux, and welcome to the dark side...we have cookies.
I'm going to answer your questions here, in order:
1. WIFI and Linux is kinda dodgy. There are lists on the internet of Linux-supported wireless cards on the internet, they can be found by a quick Google search. They usually come complete with setup instructions.
2. Will any bible program do, or do you need a specific one? I'm pretty sure there's a Linux bible program called Bible Time.
3. Sound - get your card model, and go to the ALSA (Advanced Linux Sound Architecture) website - they have drivers, and walkthroughs for each card they support; Keyboard - I've never been able to get a keyboard with extended keys (volume controls, etc.) to work...then again, I never tried very hard.
4. 3D is nice, I never use it though. I couldn't even begin to be able to tell you how to set it up. Look in the Linux - Software -> Games section of this forum. (My 3D support got installed automatically with my distro).
5. DVD playback, again, got installed with my distro.
6. It happens to the best of us.
As for updating packages, NO, just because you run package updates does not make your distro SuSE 10.2. Your system will still officially be SuSE 10.1. Keep in mind, if you're installing an RPM package marked for SuSE 10.2 in SuSE 10.1, it may not work (due to ever-changing directory structures), but the chances of it not working are very slim. Just make sure you've installed/updated the dependencies.