X2 on the light. Mine used to work, doesn't anymore, but 4WD works.Don’t go by the light. It could’ve burned out, bad path to ground, etc.
Pretty sure hubs unlocked, trans in neutral, you can still spin the front driveshaft by hand in 4wd because there’s nothing stopping it from spinning.
Lock the hubs, put it in 4 and drive it, turn tight, you’ll know if it’s in 4 or not.