1. It depends, if you want to able to
leave Canada whenever you want during your application processing, then you should chose to apply
Outland; if you're not going to leave Canada in the near future (within next 12 month) and
planning on working in Canada while you're waiting for PR, then apply
Inland and attach Oper Work Permit application to your Sponsorship application.
2. The Guide and Document Checklist are pretty much self-explanatory.

3. If you got married in Canada - provide photocopies: