I presume that you are referring to
this tutorial.
As to your question number 2, once you have downloaded the project from the
download page (I used the C# version), go to the root of the project and you will find a file named PrescriptionContoso.mdf that contains the database. You will need to attach it into your SQL Server; the file attachContoso.sql (also in the root of the
C# folder) contains a sample that demonstrates how to attach the database.