Topic: How drivers differentiate 16 bit vs 24 bit vs 32 bit?

Hello,
I have a FF400 and I would like to ask a few questions about the supported bit depths.
In the user's manual we can read this:

36.6 Transfer Modes: Resolution / Bits per Sample (Windows only)
MME
? 16 bit 2 byte (stereo 4 bytes)
? 16 bit 4 byte MSB (stereo 8 bytes)
? 24 bit 4 byte MSB (stereo 8 bytes)
? 32 bit 4 byte (stereo 8 bytes)

My question is related only with the 4 byte communication format.
How the WDM FF400 drivers differentiate between the three modes that can be passed using 4 byte? did they test if the corresponding LSB have all bits set to zero?

Considering that the FF400 has a 24 bit DAC. How do you handle a 32 bit audio file? Do you convert the 32 bit data to 24 bit by "shrinking" the data, or do you discard the lower 8 bits?

Note: I have considered WDM to work as indicated in the manual for MME.