The WJ200 VFD accepts a 2-channel single-ended signal (A, B, GND). The A-terminal can be 5-24Vdc, but the B-terminal must be 24Vdc only.
I can't find where the "A" terminal (I presume this is the "EA" terminal) is 5V only. The example wiring diagram on page 20 of the "Quick Reference Guide" that I found says "EA" is 24VDC, and the table on page 21 says "EB" is 27V max (so I would presume 24V is OK).
Something to watch out for is the "EB" input is 2 KHz max. This may be an issue depending on what your encoder resolution is and what your max RPM is.
The encoder connections to the PMDX boards must go in the PMDX-108 if they are 24V signals. The PMDX-126's inputs can handle 24V, but only if the 24V is from a PNP-style interface where it is either floating or connected to +24V. The encoder's outputs are most likely totem pole outputs which will not work with the PMDX-126 when they switch from 0V to +24V. That means they will appear on pins 2-9 on the 2nd parallel port.
Now on to your questions:
(1) You don't *need" to use the differential signals from the encoder. You can simply wire it up as a single ended interface and leave the "A-", "B-" and "Z-" terminals unconnected.
If you are worried about loading down the encoder outputs, you may be able to connect the "A+", "B+" and "GND" to the VFD inputs, and the "A-", "B-" and "GND" to the PMDX-108 inputs. If you do this, you may need to invert the encoder direction or encoder input polarity. You can also connect either the "Z+" or "Z-" (either one but not both) to the PMDX-108.
(2) No, the PMDX-108 (nor the PMDX-105) cannot translate differential to signle-ended.
By the way, if you really DID mean to type "PMDX-105" in a couple of places, the PMDX-105 will not work with your encoder as the PMDX-105 has slower opto isolators on it and most likely won't pass the encoder signals through at higher RPM.
(3) I at all possible you should use a shielded cable for the encoder signals. Use wires for the A/B/Z and GND connections, and tie the shield to GND **AT ONE END OF THE CABLE ONLY!!!**. Since none of the PMDX boards do differential to single-ended conversion, you will have to run single-ended signals from the encoder.
(4) Yes, the PMDX-108 can take totem-poll 24V input signals and convert them to 0-5V. The PMDX-126 cannot handle totem-pole 24V inputs as I mentioned above.
Any clearer? Or have I confused you even more?
Bob