I am going to try answering my own questions! Hopefully showing the evolution of my understanding. If others are already there good for you - enjoy my bumblings.

1) This seems to be the essence of MQA. What the artist or engineer hears should be the closest they have ever heard to the real thing (real thing being direct sound through analogue studio sound system unrecorded). MQA removing the time distortion from the digital recording system.

2) Not sure of this one. If someone is listening to an MQA file through a traditional CD playing system there is no post processing(rendering?) to modify the digital info, so I assume it remains as CD quality - unless the digital recording already has been modified in the recording process to remove the A to D blurring?

3) It's better because the DA/AD time blurring/distortion (signature) has been processed out.

I would love to hear MQA recorded files available soon.