This week's book giveaway is in the OCPJP forum. We're giving away four copies of OCA/OCP Java SE 7 Programmer I & II Study Guide and have Kathy Sierra & Bert Bates on-line! See this thread for details.
1. Yes, you would end up with html + jpeg/png files naturally, I had a single index.html page with links to the diagrams in jpg format
2. There will be (most probably) some questions regarding some NFR's in your solution so for sure you will have a place to write about it.