Yes, that is the speaker selector installed (40-244). Yes, each room is wired correctly, and as I stated in my original posting, I am able to turn each room on and off individually using the selector switch, regardless of how many rooms are selected.
The volume controls installed are Radio Shack (40-987) High-Power In-Wall Stereo Volume Control. Ceiling speakers installed are Radio Shack (40-4096).
Is there a compatibility problem using this particular selector switch with a volume control downstream of each switch? Does it not truly keep each speaker selection in parallel?