Cisco WAN QoS question

I've got an output QoS policy that sets:

 class TAG-AF21

  set dscp af21

  bandwidth remaining percent 25

Then if I look at the policy-map for our serial Interface, I see this:

 

    Class-map: TAG-AF21 (match-any)

      9773017 packets, 5141610233 bytes

      5 minute offered rate 1000 bps, drop rate 0 bps

      Match: class-map match-any QOS-STORE-DVR

        9773017 packets, 5141610233 bytes

        5 minute rate 1000 bps

        Match: access-group name QOS-STORE-DVR

          0 packets, 0 bytes

          5 minute rate 0 bps

      Queueing

      queue limit 64 packets

      (queue depth/total drops/no-buffer drops) 0/41163/0

      (pkts output/bytes output) 9731853/5093123403

      QoS Set

        dscp af21

          Packets marked 9773017

      bandwidth remaining 25% (264 kbps)

I have two questions

1) The bandwidth command only comes into play during times of congestion, correct? It can exceed 25% (264 kbps) if there is no other traffic?

2) The total drops referenced in that output -- are those related to QoS queueing drops (due to the bandwidth command) or could they be drops due to something else?

Thanks -- you all have been a big help with QoS before.

Bill