FAT 32
For the most part, neither. The default file system for Windows XP is NTFS. You can choose to use FAT32 on drives less than 32 GB in size, but there's little advantage to do so.
32 GB
You use a windows xp restoring CD or restoting CD from other companies such as WindowsPE, Windows XP usb edition and so.
NTFS is the predominant file system although FAT is supported on XP.
If you are installing windows XP with Windows 9x or me than the I would recommend you to use FAT32 as if you use NTFS than you wont be able to access Windows XP with NTFS partition. If you are installing Windows XP with Windows NT or Windows 2000 than you can use any partition type. But I would recommend to use NTFS.
Yes. Most floppy disks all the way from the original IBM PC to the present day use the FAT file system, so a floppy created in Windows 95 (or MS-DOS, for that matter) could still be read on Windows XP or Windows Vista.
2. FAT anf NTFS
If you intend to install the hard drive as a second drive, Windows 98 may not be able to recognise it. Windows 98 runs only with the Fat 32 file system, where as normally XP runs on the NTFS file system, but can also run on Fat 32
windows 2000/XP
Literally, there is a windows xp uploader wizard in friendster. But it is only a registry file that you need to execute into your computer to set the proper configuration in your computer's registry. In short, the Windows XP Uploader Wizard is in your Windows XP machine. Details about how to use the uploader wizard can be found here: http://mvizion.blogspot.com/2008/09/how-to-use-windows-xp-uploader-wizard.html
Yes.
Simple. You install whatever program you use to open them.