What are you asking? Do the Apple lossless files work? Do they sound good? What did you use for conversion? How did you convert the DSD file?
Net/net, we need a little more detail.
If this is a result of using Rob's DSD and FLAC import capabilities in Pure Music (I'm speculating since you didn't mention doing this special import window process), then there is a simple response.... His DSD/FLAC import process uses proxy file generation, is proprietary, and creates "bookmark" files that sit in iTunes and point to the real file (since neither FLAC nor DSD can be played in iTunes). So the Apple lossless files are small for one simple reason, they are there to point, nothing else. The good news is you can edit them (tag) and find them via browsing (Apple remote app, etc).
http://www.channld.com/support-troubleshooting.htmlScroll down to Foreign File Support, FLAC file playback....and follow directions. Rob describes the process. Again, realize that iTunes was never intended for DSD or FLAC, so this is a bit of work, but once setup, will do imports fine. But if you wonder what the Apple lossless files actually consist of, ask Rob.
