As to question 1, it will certainly build muscle, although if you are looking for the bulked-up look, it probably isn't the optimal program. Cheapo, of course, is a great example of the potential effects. I suspect there some genetic stuff in there, and age may make a difference. I'm a bit behind Cheapo on the program, but don't have anything like his level of muscle definition.
The real measure of muscle is strength. When I started this program a year ago, I never would have thought I could get to the point where I was doing 80 pull-ups 130 push-ups and 208 squats in a twenty minute workout. It just takes 20 minutes three times a week, doesn't require a gym membership or any costly equipment, and it's graded enough to have kept me injury-free for the year. So, I'm a pretty satisfied customer.