Good job getting that EtreCheck report posted.
Your Mac and the software load looks mostly pretty good.
The problem is the terribly slow 5400 RPM mechanical HDD. Apple did not build this model and others with anything more than the bare essential for email and a little bit of web surfing. As macOS got more complex and as the demands of other applications became greater this slow HDD has been unable to keep up.
Your write and read speeds are extremely low at 44 MB/s and 52 MB/s respectively. With a 7200 hdd, these would likely be in the near 200 MB/s each.
The easiest fix for this will be to buy an external SSD, install your OS onto that, transfer your user account and data from the old drive and then use the new external SSD as your startup drive. With your Mac in running order now, putting that plan into action should be very easy. This upgrade path provides the greatest bang for your buck, so to speak. A noticeable boost in performance and a vey easy implementation. An external SSD can get your write/read speeds into the neighborhood of 400 MB/s each.
NOTE – Please see my first post above for the browser link to the correct macOS Big Sur upgrade installer and guidance.
Your tech folks at Simply Computing don't know their Macs. This iMac can accommodate up to 32 GB RAM, and the internal HDD can, in fact, be replaced with an internal SSD.
Replacing the internal hdd with an ssd is an involved process that will require a near-total teardown of the computer so there is a risk of critical damage while doing so. It is recommended that this job be done by a qualified service tech.
Likewise, upgrading the RAM modules in this iMac requires a similar teardown. It's not for the faint of heart. Again, best left to a qualified tech. Your Mac is running with the minimum amount of RAM required for these newer macOS versions, so an upgrade would likely be helpful, but in and of itself will not provide the performance boost you are hoping for.
If you're interested in knowing more about process of HDD replacement and RAM upgrade on this iMac, you can find that info at OWC/macsales.com. They know their Macs and they have videos.