SharePoint Foundation service accounts

I'm new to SharePoint Foundation and have a question regarding service accounts.  I did not configure any service accounts and now I receive the following message:

"The server farm account should not be used for other services."  Failing Services: SPTimerService (using the Network Service account).

I want to change this and found that I can do so under the credential management section.  Do I need to select the Farm account for the service to change (I don't see the SPTimerService listed)?  I setup a new domain account to use for this but my only options under "Select an account for this component" are Network Service and Local Service.

I read the following technet article but it doesn't really explain much:  http://technet.microsoft.com/en-us/library/ff805056.aspx

If I use my new domain service account does it need any specific priviledges assigned to it in SharePoint before I add it?
emauchAsked:
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Justin SmithSr. System EngineerCommented:
This is a "bug" basically, nothing you can do to completely eliminate it except disabling the rule.  The farm account should ALWAYS run the timer service, as well as a couple others.  You can ignore this warning.

However, if you're farm account is NETWORK SERIVCE, that isn't best practice (but still works).  Did you do a basic standalone install?
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emauchAuthor Commented:
Yes, this is a standalone install.  Should I change the farm account and can I somehow select a domain account?
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Justin SmithSr. System EngineerCommented:
Stsadm -o updatedarmcredentials.
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