Yes his ears are perfectly normal. They should start standing soon, but may go through a weird up and down thing for a while.
It is illegal in some states to sell a puppy younger than eight weeks, but even in places where is isn't, letting them stay with mom and their littermates until they are eight, or even twelve weeks is always a good idea, because they learn important social interactions at that age.
If by CKC, you mean the Continental Kennel Club, they won't do anything. They were set up as an "industry" registry for pet shops, commercial breeders, and others as a way to get around AKC rules concerning Limited Registration and DNA requirements for Frequently Used Sires. They will register anything that barks, including "designer" mixed breeds and purebreds of completely unknown ancestry.
I don't know if it's and camera angle or what, but in your photo, he looks way more than just 10 pounds... I thought it was a Malamute puppy at first.
If by "Tractor Supply food", you mean their 4Health brand, it's not a bad food for the price.