If you are using the Arduino IDE, you would choose Duemilanove with ATmega328P 16Mhz.
We have sold thousands of these, and they are all pre-tested prior to shipment. If the above board selection does not work, then we will gladly replace the unit for you.
The miniWireless are preloaded with a test program. If you connect the FTDI interface at 115K baud, you should see the test program printout on powerup and after reset.