All of that sounds right, but Im going to post a picture just to make sure.
I do not know how or where we will mount the encoder, what is the best way?
The gear ratio of the gear box is a 16:1.
http://banebots.com/pc/P60K-S7/P60K-44-0007
The tooth count I believe a 32 tooth on the big one, and a 10 tooth on the other.