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1. No answer here. It's like if you ask "how to make my home secure?" There could be a ton of recommendations, but no universal solution.
2. When PHP engine generates a page, it usually does a lot of things. Performs SQL queries, access various files and simple executes the code. Caching is a method do avoid it. Once the page was generated, it's saved as a simple HTML file. So next time when someone will try to open it, he will see the previously generated static version - the PHP code will not be executed, SQL queries will not be performed etc.
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Obey the Cowgod
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