Does this tool replace a full parametric equalizer?
Not fully. It has only 3 fixed bands (bass, mid, treble) and only the mid band has adjustable Q, from 0.3 to 8. It works well for quick correction and tonal preview, but surgical notches at one specific frequency or dynamics control still need a dedicated plugin.
Why does the overall volume drop after I boost the bass?
That is auto-gain doing its job. It adds the source peak to the largest boost on the curve and, if the prediction passes -1dBFS, applies an attenuation after the filters so the peak does not clip. It is an automatic safety measure, not a bug, a +7dB bass boost on a file already peaking at -3dBFS needs roughly -5dB of compensation to fit.
Are the presets final settings or just starting points?
They are starting points. All of them stay within ±15dB and represent plausible curves (the Phone preset, for example, mimics the 300 to 3400Hz band of classic telephony), but real material varies, so it is worth adjusting each band's frequency and gain after applying a preset as a base.