How to turn flat file to SQL

Hi,

I'm new to SQL but we want to turn some of our flat files into
SQL databases.  The flat file is the result of a survey (think of
a test) where there are some multiple choice questions, and
a bunch of "T/F" questions.  The T/F questions are just checked
boxes, which we can think of as keywords that a person chooses.

The question is, can we put this into a SQL database just as a
flat file, ie as one table, with one column per question, or should
we break it into several tables, for instance with a table of
the "keywords" (the boxes that can be checked).  Is there any
problem on a typical Linux box with running PostgreSql database
with one table of 120 columns?

Thanks,

J.