I'll do my best to explain them from what I know, if I make a mistake please don't go nuts on me.
Either the frame type in your movie is interlaced or progressive, you can tell using a program called bitrate viewer, but usually you will use the progressive frames because when frameserving your PAL interlaced d2v (I assume you're encoding a movie) with AviSynth you will use a deinterlacing dll (decomb I think), so you will have progressive frames anyways.
Linear Quantizer Scale:
No idea on this, probably best described in the manual.
Zigzag Scanning Order:
Same as above.
Upper Field First:
This is also shown to you in BitrateViewer.
See Progressive Frames.
You may activate this on a DVD2AVI project that shows 95%+ FILM or just FILM in DVD2AVI to force it to become 23.97(?) fps. Which is needed for CCE, otherwise you have to IVTC the source to get the correct fps.
2:3 Pulldown :
Pretty much the opposite of Force Film, after you've CCE'd your film, you need to convert it back to 29.97 FPS (NTSC) to play it on your standalone player. (NTSC ONLY).
Drop Frame Flag:
This is for subtitles, if you have no subs you want to use ignore it, otherwise set it. (Not 100% sure on that, I always set it to on. Might be different for PAL.)
This one is pretty self explanatory.
Try using the trilight guide for help: