thunderbolt/firewire 800 adapter

If your iMac model year is correct at the bottom of your post.

iMac (24-inch Mid 2007)

That model year doesn't have a Thunsderbolt port and that adapter won't work.

If you do have a newer iMac that does have a Thunderbolt port the TB to FW adapter does work. the complaints are about it not supplying enough power to devices connected to it like a Real FW port did.

I have one but only used it once or twice to connect a second FW device to my Late 2011 MBP that does have one FW port.

I have used the FW 800/Thunderbolt adapter at work. Because it defaults to the slower speed of FW, it is slower than TB, but does work quite well. I have used the adapter numerous times, never had a problem with it.

I never said anything about Daisy Chaining FW devices. As far as I know there is no problems daisy chaining devices.