The tool I posted is safe to use, the memory division is set to halfway by default.
It doesn't matter where you put all the files add long as they're in the same directory.
32MB is too low for any recent GPS app.
Getting into the windows ce control panel would be my next move.
Open MobileNavigator.mscr with NotePad on your PC and add this line to the bottom...
Run ("\Windows\Control.exe")
...rerun the app and the control panel should appear, take a photo and post here (it's in Chinese) I'll show you what to do pictorially...