1. Read the iZotope guide twice
2. Then forget about it. Which dither algorithm you choose is almost irrelevant. Just remember the one cardinal rule: only apply dither during the final export, and only if you're reducing the bit depth to 16 bits for a CD. Dither is not necessary when encoding an MP3.
BTW, despite popular misuse of the word, "dither" does not refer to converting 24- or 32-bit audio to 16 bits. Its purpose is to mask noise caused by the unavoidable rounding errors that occur during such conversions.