widgets setup

how to I set up my widgets in version 2.7?

If your theme is widget-ready, go to Appearance => Widgets to setup your widgets.

Also, adsense is no working

Are you using a plugin? If so check the compatibility list to see if it’s compatible with WordPress 2.7 => http://codex.wordpress.org/Plugins/Plugin_Compatibility/2.7

(Note that the fact that a plugin activates without errors does not necessarily mean it’s working).