should I set canon menu video to 1080p or 720p?
You should set it to 1080p and use it in normal mode (not 5x zoom as some other presets)
Am I able to use this for 16:9 final result video?
when I set ratio to 2:1 1832x912 and 1824x912 is maximum resolution I could choose is that normal?
on RAW video option it says "1824x912 3.00x" does that mean I got a 3x crop factor? what if I want to use that as 1.0x (entire full frame)?
It's indeed a bit fiddley
For maximum resolution use 1:2 ratio (not to be confused with 2:1), it's important to have the right aspect ratio, otherwise you can't select the maximum vertical resolution.
The cops_rec preset I made are not (always) completely loaded/set when you select them, it's always good to use magnifying button to scroll through 1x, 5x and 10x zoom until back to normal view.
That way everything is set, some say pressing menu button twice works too.
16:9 end result is possible, although in a very low resolution, because after unstretching the maximum resolution of 1842, you end up with a vertical resolution. of 1842 / 3 = 614 pixels.
614 / 9 x 16 = 1092 horizontal resolution for 16:9 ratio.
So if you lower the resolution in raw video menu to 1092 x 1842, you can end up after unstrecthing with 1092 x 614 = 16:9 video.
I tried to shoot a test but I got some trouble judging stretching after trying to get it natural unstretched looking.
If you've got it working, you will know and see that it is stretched. You must make the vertical resolution 3x smaller, in software on computer, to get normal looking video
can't wait to test your high fps preset 
Good to hear, didn't work on that much anymore. Still a little in doubt if I should upload it, because it's not that robust (prepare to get an occasional error 70 on your display and to pull out the battery to get rid of this error

)
But I'll try to upload it later on the day, with some instructions