Replaced water heater, still receiving luke warm water,Why?

Since this is an electric water heater can you tell me the voltage getting to the elements?

The voltage is 240

Looks like it is running on one element only. Did you flip the breakers ON after heater was full of water and you bled all the air from the system ?
Also, thermostat may be set too low. Recheck your installation.

Did all above, I set the upper thermostat to 130 and lower thermostat to 120

By the way, the tank was full before I turned on the breaker.

This is a NEW water heater.

I need to ask a question. If you drain water out of the bottom of the tank, how hot is it?

Generally only the top or the bottom element works at a time, so that's an issue with the thermostats and the elements.

Make sure that hot and cold are connected to the right sides. That's an issue.

Make sure that there was a dip tube in the new water heater. Will go cold fast if there wasn't.

Here is part of the operation.

Normally hot exits at the top of the heater and new cold water is placed at the bottom of the tank via the dip tube. If the upper temp gets too cold the upper element turns on and the lower one turns off.

In a static situation, the bottom of the tank is heated. The hot water rises to the top and once the bottom temp is satisfied the bottom heater turns off.

If the dip tube is broken, then the entering cold water essentially exits. If hot and cold are reverse, then essentially the same thing happens.

So, lets get an idea of how hot the water is in the bottom of the heater by removing some water with the drain valve.

The anode rod is another complication - it doesn't appear to be in play here.

Another question, no answer just yet. Is the hot water temp the same at all faucets all over the house?

Also: Do you have hot water circulating pump connected to the heater ?