A: 

With Javascript the CSS properties with a dash has to be written in camel-case. So for the background try to use "backgroundColor" instead of "background-color" and it should work and do not use quotation marks:

$("ul#widget0-navbar-list li").each(function(elm){ 
    elm.setStyle({
        backgroundColor: "#FFFFFF"
    }); 
}); 
Kau-Boy