First of all, I strongly suggest you to look at some basic stuffs of computer system, especially how a process/thread is executing on CPU and scheduled by operating system. For example, virtual address, context switching, process/thread concepts(e.g., each thread has its own stack and register vectors while heap is shared by threads. A thread is an execution and scheduling unit, so it maintains control flow of code..) and so on. All of the questions are related to understanding how your program is actually working on CPU
1) and 2) are already answered.
3) Multithreading is just concurrent execution of any arbitrary thread. The same code can be executed by multiple threads. These threads can share some data, and even can make data races which are very hard to find. Of course, many times threads are executing separate code(we say it as thread-level parallelism).
In this context, I have used concurrent as two meaning: (a) in a single processor, multiple threads are sharing a single physical processor, but operating system gives a sort of illusion that threads are running concurrently. (b) In a multicore, yes, physically two or more threads can be executed concurrently.
Having concrete understanding of concurrent/parallel execution takes quite long time. But, you already have a solid understanding!