Answering question #2: It was not allowed under 2006 IPC. It was allowable to use a combination wye and 1/8th bend to connect a horizontal drain into a vertical drain, but it has never been allowable to connect a trap arm to it's vertical vent with a combination wye and 1/8th bend.
So, to answer your broader question, it is not allowable under any code that I am aware of to attach a trap arm to it's vertical vent with a combination wye and 1/8th bend. A sanitary tee is the correct fitting for that application.