it's no problem then; just mount the drive with read-write and it will work; however, most apps and programs (especially in console mode) will require you to either escape the spaces [\ ] or put quotes around the "directories with spaces". GUI browsing for reading and writing should work normally, just point and click.
FAT32 works on the same basic principle that FAT16 does, but there are differences (like the size of the HD supported) that aren't really necessary knowledge. Incedentally, DOS floppies use FAT12, but they all work with the "-t vfat" option to mount.
-t.