Memory addressing with hex
I think this is really an address decoding question.

You want to map the memory to occupy the upper half of the 17 bit processor address space (A weird processor, but anyway) (10000 - 1ffff). 
This is probably most easily done by gating the chip select signal with A16 (Which if you think about it will only be high for addresses in the upper half of the address space). 

Regards, Dan.