In your module definition, you have declared three 8-bit wire
ports:
output wire [7:0] r,
input wire [7:0] x,
input wire [7:0] y
However, in your calling module, you have declared three 1-bit wide by 8-bit deep wire
arrays (refer to the IEEE Standard for Verilog, 1364-2005, Section 4.9 "Arrays):
wire rbit [7:0];
wire onebit [7:0];
wire twocomp [7:0];
When you connect these wire arrays to the module instance, port connection type mismatches occur, which result in compile errors.
To fix the situation, you must make sure that the type of the signals used to connect to the instance match the module port type. As Marty pointed out, most likely, you want to change your calling module wire
declarations to:
wire [7:0] rbit;
wire [7:0] onebit;
wire [7:0] twocomp;
The other possibility is to change your module ports to match the calling module wires, but I sincerely doubt that is what you want.