Yes.
Since $c_0$ is complete, you only need to show total boundedness to show that a closed subset is compact. So let $K$ satisfy your criteria. Let $\epsilon>0$, and pick the corresponding $N$. Now $K_N=\{(a_1,\ldots,a_n)\colon a\in K\}$ is clearly a closed and bounded subset of $\mathbb{R}^N$. Cover it in a finite number of $\epsilon$-neighbourhoods. Take the centers of these, extend with zeros, take $\epsilon$-neighbourhoods of these in $c_0$, and you're done.
(I got interrupted while writing this, and now have to go to a two hour meeting. So this is woefully incomplete, but I am throwing it in there anyhow.)
Addition after thinking about it during the meeting: Assume $K$ is compact. Consider the functions $f_n\colon K\to\mathbb{R}$ given by $f_n(x)=\max_{k\ge n}|x_k|$. Then $f_n$ is continuous, $f_{n+1}\le f_n$, and $f_n\to0$ pointwise on $K$. By Dini's theorem, the convergence is uniform. So given $\epsilon>0$ there is some $N$ so that $f_n(x)<\epsilon$ for all $n\ge N$ and $x\in K$. But that means $x_k<\epsilon$ for all $k\ge N$ and all $x\in K$, which is your final condition.