The Xorg log was good to look at. Thank you for mentioning it. This is what I had when I did not use the Xorg config file:
(EE) Unable to locate config file
(II) loader magic 0x<hex number>
"built in default" screen automatically adding devices and enabling
It finds the Video Card chipset and loads drivers. It finds the Monitor and finds what settings are valid, including V and H sync rates.
It does not answer some new questions that come up, sort of puzzling at the moment. I'm sure there is an easy answer! Just can't think of it right now. If I pass a boot parameter: vga = 0x<new value>, Then it will not starx! It gives the error message: "Fatal server error can not run in framebuffer mode. Waiting for x server to begin accepting connections." And does not go into x.
I am able to get the New Resolution and the mouse wheel works (as originally mentioned), without the Xorg config file...and reading the Xorg log explains the auto detect. It works if I do not pass other vga options at boot time.