Assuming you backed up all your mysql data before you upgraded, have you restored it to mysql? Have you been into mysql.users to change the HOST_NAME which will be different from the one on your last setup?
The “It works !!” message has nothing to do with PHP, the testfile is created by the apache2 install, in the webserver’s default directory, on openSUSE in /srv/www/htdocs
There’s a hierarchic order in the handling of files on a webserver by the browser: html first, php is next.
To bypass this, and confirm my reasoning, you could try “127.0.0.1/index.php”, should work since you overrule the default.
So, go into the /srv/www/htdocs folder and see that it contains an “index.html”, next to an “index.php”. If you open the file “index.html” you’ll see what is happening. Now do this:
su -c 'mv /srv/www/htdocs/index.html /srv/www/htdocs/index.html.apache_generated'
and browse 127.0.0.1, to see that your Drupal does work