Try staxrip if you are a newbie, starting with MeGUI is IMO far too advanced to start out on. Try opening your files (StaxRip will merge them for you) then select x264 and a constant quality preset.
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i also dont know what 720p means.
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720p means 720 vertical lines of resolution while "p" means progressive, as opposed to interlaced.
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also how much bitrate to make it HD?
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Entirely subjective, I would advise a CRF value (between 18 and 24, lower being higher quality) rather than bitrate