Judy F.

On the group, I clicked the Setting button on the left

Correct.

When I scroll down it shows Moderated, Restricted, etc.

Pointless.

I then clicked Member Notices at the top and it shows a welcome message

Correct.

But not just Welcome (when someone joins your group) but also tabs for:
Pending Subscription (restricted groups only),
Goodbye (someone leaves your group), and
Banned (you ban someone).

The tabs are clearly shown in Trish's screen shots (Message #1243 & #1314). "Welcome" is on the left of the row, "Banned" is on the right.

I clicked Update Notices at the bottom and it looks like I get basically
the same options as above.

That button saves the text you entered into the text entry box above the button (and below the row of tabs).

I also clicked on all of the down arrows

I don't know what you mean by that.

I'm lost. I don't see any place where I can pick when pended, when
approve, when denied, etc. I'm sure it's there, but I can't find it.

I'm baffled that you're lost. You must be expecting to see something different and not recognizing what's there.

-- Shal