(1) I meant to ask the size of your Windows partition (C:) not the folder. But it's probably OK.
(2) Too bad that "error" log is empty for you too.
(3) I do not see that you have a Recovery Tools partition. (At least, Backup & Restore did not make an image of it.) Have you got a file named
WinRE.wim,
likely in a folder named C:\Windows\System32\Recovery? If so, that is your Recovery Environment which will load when you
Shift+Restart. Otherwise, you don't have one. Better make a Recovery USB (ask Cortana for Recovery Drive).
(4) Your backup log indicates your EFI partition (if yours is a UEFI install) & your Windows partition were successfully backed up. Do you know how to take System Image Recovery to the brink just to see whether it is offered for restore?
https://www.winhelp.us/restore-a-system-image-in-windows-7.html
Restore a System Image Backup in Windows 7, 8, 8.1 and 10
Note: That is a 3rd-party site. Looks knowledgeable, but I know nothing (good or bad) of any downloads or links that are there.
(a) Plug in the external HDD that holds the image.
(b) Shift+Restart for the Choose an Option screen. Or boot to the Recovery drive through BIOS.
(c) Click "Troubleshoot > Advanced Options > System Image Recovery".
(d) Keep clicking until you see it is offered - then back out.
VincenteMartinezU did say he successfully restored his on page 2. (but I wouldn't do it just for fun.)
(5) Here is how to mount the image of C:.
(a) Open the WindowsImageBackup folder on the external HDD that holds it.
(b) Get to the Backup folder with the proper date.
(c) Double-click the largest .vhdx in that folder. That will likely be the C: partition.

It might mount & open in a new File Explorer window at that point. But...
(d) If you get an error message, click "OK"...

(e) Right-click START, & select Disk Management.
You will see it has mounted, but without a letter...

(f) Right-click the one that has no letter, & select "Change drive letter & Paths", then click "Add". Either "OK" the one offered, or select your own. Disk Management will now show a letter...

(g) You may now open the mounted image in File Explorer. Look good?
(h) When done, right-click the drive in File Explorer, & select "Eject".

I find that, after going through the error once, the next time the .vhdx will just mount & open.
(6) I think it is a problem with the making of that shadow copy that is thwarting Backup & Restore for you. But your Services settings seem OK. More study is required.