4
Yep that's right, so long as the 'folder it gives you' is the actual module folder, which will bear the name of the module.
However, as I mentioned sometimes when you unzip you *might* find the module folder wrapped in a couple of other directories that you don't need - it might look something like this (this is just an example):
html
-> modules
-> -> agendax
In such a case, its the 'agendax' folder you need to copy into the xoops_root/module directory. You should discard the 'html' and 'modules' folders, that's just wrapping. Although sometimes they contain other things you might find useful like additional language files, readmes etc.