So I spent some time trying to figure it out, playing with Normal.dotm and the various styles (List paragraph, List Number, List Bullet etc etc). And finally, when I've got Normal.dotm open (i.e. I'm editing that template file), I get my result: I apply a standard numbered list, and it comes up flush left (i.e. not indented) and hanging at 1.0cm (cos I don't use inches...) and with a tab stop applied at 1.0cm as well - funky stuff!
To include numbering prefixes from higher levels, enter text or click at the start of the Number box and choose Insert Number Placeholder and then select a Level option (for example, Level 1), or enter ^ and then the list level (for example, enter ^1). In a list with first levels numbered 1, 2, 3, and so on, and second levels numbered a, b, c, and so on, including the first-level prefix in the second level renders second-level numbers as 1a, 1b, 1c; 2a, 2b, 2c; 3a, 3b, 3c.
One of the last things we need to do is our Table of Contents. We did this earlier, where we had different page numbering. So, all we need to do now is, because we've redefined all our Styles, and we're doing it all proper now, if we go to 'Layout'-- I've got my cursor flashing in here, first of all go to 'Layout', let's go to 'Update Table of Contents', and I'm going to click 'OK'. There's some spaces left in the front of this when I was messing around with it before, yours should be fine. So it's updated to the correct numbers. One thing I also did was I went in and adjusted the font from Medium to Light because I just liked it. I did that in between tutorials.
In the example I explained, I was using a list, but did it with un-linked text boxes using “continue from previous number” and “continue numbers across stories.” I’m guessing that there is no way to tell InDesign that even though there are 4 text boxes on the page, that there are two different lists? I’d probably have to just create two threaded stories for that scenario to work.