Not intimately familiar with your specific xset error message. You're xorg.conf file is, however, incomplete as Card0 and Monitor0 have not been defined. I have no experience configuring keyboards and would probably comment out the entire InputDevice section until the screen resolution is resolved.
Use my TC6 xorg.conf file as a template, obviously change driver and monitor details as needed. Can take some tinkering and several reboots to get it set up satisfactorily. If your system has another distribution installed that uses an xorg.conf file take a look at it to cross reference. Also, not all systems require an xorg.conf file, so if you haven't already reboot without this file to test.
HorizSync 28.0 - 96.0
VertRefresh 50.0 - 75.0