Purchased Lion before upgrading to newest leopard and now I can't get Lion on my computer!

I purchased Lion before I had done the CD upgrade to the latest Leopard Operating System. 
Two days ago I finally installed the Leopard upgrade and my system was updated to Leopard 6.8.  I think.. What ever the  very last version was.
Then I went to purchase OS Lion forgetting I had purchased in the past and it told me I had previously purchased it so it would not allow me to repurchase it.
However I have no idea how to activate it and wonder if I've totally screwed things up by purchasing it before installing the latest Leopard which lion needs.
I know my comport is still running Leopard but don't even see where the files or whatever they are for Leopard or Lion.
I have an IMac from 2007 or 2008. It has a Core Duo processor.
I went to the Apple Store and she said I'd have to bring my computer in or call Apple and pay the.
Any thoughts, suggestions?
Many thanks.
Carole

So I have the appropriate processor.
The suggestion to use the option key in the Mac App store on price key to have it switch to download but the price option isn't available any longer.  
So I did the opt
Tion key with the download key and it asks for my apple id and after I provide that nothing happens so I do options key and download and nothing happens
Did same thing other day without options key.
Then I looked for the install Lion icon in my Applications folder but don't see it.   Don't see any folders on my computer that deal with any operating system.
To clarify.  I have the latest version of Leopard on my computer.
Please be nice to each other...I'm so grateful for your advice, thoughts, expertise.
Carole

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