The issues you describe have little to do with mailmerge and much to do with basic document design and management.
You should set the page size to 4.25 x 5.5, with a single column and a bookfold layout. Unless you want the pages to have a landscape layout, use the portrait layout.
The font issue relates to whatever the formatting is of the paragraphs into which you're inserting the mergefields. Correctly define their Styles and the formatting will be correct.
Since you want one record per page, use a Letter mailmerge. And, since you want the records sorted in a particular order, make sure either that they're in that order in the datasource or that the sort order is defined via Edit Recipients List>Sort.
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Cheers,
Paul Edstein
[Fmr MS MVP - Word]
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