MS Word line length

Looking at your first screenshot, the first word on those lines are underlined in green, most likely because Word thinks they should have a capital letter. That leads me to believe that there is a line break at the end of each line, and no matter how much you move the indents, the line will break.

This probably happened if you copy+pasted the text into Word from either a webpage, or from Notepad with Word Wrap on. The only way to correct it now is to manually delete the line breaks, which you did in your second screenshot.

To make it easier to see where the line breaks are, press what I call the 9T button (to the left of the zoom function in your screenshot (it says 100%)). Dots will appear for every space you have, and a 9T symbol will appear for every line break.