OK, let's try this again!
First off, to be honest both of your questions are tough to answer due to the uncertainty of the physical condition of the drive. Hmmm....
As to the first question, that one will kind of answer the second one after all is said and done. My first thought would have been to try DW first (and if you have an Apple store within reason they carry it in stock normally) before beginning, but the $60 you already have committed to them changes things!
I suppose the simplest thing at this point is to have them diagnose what is recoverable (although I suspect the whole drive will be) and give you a quote before proceeding with it. If they claim that everything is recoverable I can guarantee they are just using software tools (perhaps as simple as a full run through DW or perhaps recovering files with Data Rescue II- another indispensable tool!) since the other method of data recovery requires highly advanced software and often a "clean room" that the local shop is not going to have. If that is the result, then additional recovery would have to be based on their estimated cost- if it is huge it kind of answers itself since I don't know how much it is worth to you. If it is reasonable, it might be more economical to let them do it since you already committed to $60 and the software would cost more than that. Perhaps they will just say that it is physically damaged and no recovery is possible after all!
I know this is not helping really- but it is just so uncertain as to the the condition of the drive!!!
I have another idea, so please check your Private Messages before too long OK?