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does LMS/Squeezebox 2 limit the sampling or bit rate

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I am new to this group and many of the posts are too technical for me. I am trying to determine if my LMS/Squeezebox 2 setup is sending the unmodified flac file to my DAC. My new DAC will accept anything up to 24 bit/192k on the s-pdif inputs however when I play for example a 24/96 flac file the DAC display indicates 48k! Can anyone help me on this, without getting too technical. Does my Squeezebox adjust the resolution?

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