Correct. It should give a nice clean sharp edge for the clock face (which is the bottom when on the MultiCam).
In my experience the differences are best described as “helpful”. If you use the “wrong” endmill you can still easily end up with good results. “Sharp” and “free of defects” are far more important.
A downcut endmill gives a nice sharp edge on the top of the stock and helps hold the stock down. The disadvantage is that the chips are not naturally cleared away. Accumulated chips can cause problems like knocking the stock free from the vacuum hold-down, overheating the endmill, or even breaking the endmill. But, those problems are easily avoided if the chip collection vacuum is working well or if cuts are done so the chips fall away.
An upcut endmill gives a nice sharp edge on the bottom of the stock and naturally clears chips away but tends to lift the stock from the table.
I no longer use compression endmills. At the bottom they are an upcut. At the top they are a downcut. The idea is to get the advantages of both.
I believe the V-bits are all upcut. Their purpose is simple: cut an angled edge. They can be used to make a bevel or decorative lettering or anything else with a simple angled edge.
I tend to use 1/4" and 1/8" endmills. The linear speed is not much faster for 3/8" endmills (216 vs 252), I have had 3/8" endmills knock stock free from the vacuum hold-down, they seem to get abused more (chipped, dull), and there is more waste. In contrast, I have always been able to find razor sharp 1/4" and 1/8" endmills in the drawer. I tend to use 1/4" to “rough” (even though the result is usually between “very good” and “excellent”) and 1/8" to “cleanup”.
In your case, the 1/8" is necessary to mill the hole for the shaft. I originally had a cleanup pass with a 1/8" endmill but eliminated it out of concern for the cutting edge length. The 1/8" could also have been used to reduce the radius on the pocket for the clock mechanism but the depth also exceeds the cutting edge length.
Make sense?