RE: Sighting in at 40 yards
Yep, raise the rear sight if you want the bullet impact to move up.
For a rear sight (rifle) adjust it opposite the direction the projectile is impacting. Hitting low move the rear sight up. Hitting high move the rear sight down. Hitting left move the sight right. Hitting right move the sight left.
For a front sight (bow) you adjust the sight in the same direction that the projectile is impacting.