It seems that you have the db and site setup correctly and the globals setting look fine also. What does not seem rite though is the message you are getting at the top of the page, I think the message you are getting with the link to the login page is the same issue. It seems that your php server is not running or turned on. If php were running you should not see the php code, you should only see the output of this code in your page. The only way you should be able to see the php code on your page is if you are viewing the .php page in DW or another editor or through the file protocol in a browser.
To do a test of the php server you will need to make a php info page. You can do this by having any php page with this as the first line:
<?php phpinfo(); ?>
You can have a page that has only this line of code on it, you just need to ensure that it is a .php page. Test this page out and it should give you all the details for you PHP server.
Someone else looking at this thinks that your testing server URL may not be set correctly in your testing server, what do you have for the URL prefix in your testing server settings in DW? The testing server url prefix should be like you have here in the globals file:
Please check these things and let us know what you discover, also let us know what is present in the address bar when you attempt to preview one of these pages.