Thank you cutterjohn 42 - I tried this using another USB cable to the Kobo, and it worked. (Now I'm not sure whether or not the old cable was problem, although it was working fine with other equipment.) I copied one non-DRM ePub onto an empty 4gb SDHC card via the card reader on my computer and then with the card in the Kobo it was turned on - and there it was!!! Pushing my luck I then used Calibre to transfer books to both the card and the main memory of the Kobo and everything is working "as advertised".
Thank you to all who contributed their suggestions.
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