To answer #1, you can get splitter cables that allow you to unplug one device (hard drive or cd), and plug this in, giving you an extra molex power IDE connector.
Link:
http://www.newegg.com/Product/Product.aspx?Item=N82E16812198025To answer #2, you can buy a female molex connector that will plug into this splitter, or just cut the male plug off the splitter and wire directly to the yellow and a black wire. Be sure to tape the red and the other black, but not together, to keep them from accidental touching something.
The ide wire voltage are as follows:
Yellow= +12 VDC
Black= ground
Black= ground
Red= +5VDC
The two blacks are the same, so it doesn't matter which one you connect to.
#1 answers #3, I think.
#4: If you use an inline fuse it will go on the yellow wire (if you are using 12 VDC), or the red one (If you are using 5VDC).
It will wire between the power supply and the led wiz.
#5, not sure what you mean about banking separately, but yes, the 12 VDC on the PC power supply is regulated.