In the "Mail And News Preferences...", "Answer and Forward" pane, there is a
checkbox saying something like "put the insertion point before the quoted
text" (I'm using a French version, so it may slightly differ).
Not automatically; you need to insert them manually. Paul Berkowitz wrote a
script that did that in Entourage 2001 (Reply Insertion Above), but it does
not work in Entourage X.