2) If you think that you have already installed the terrain you can check in the APIC terrain folder:
Program files\Approach\Apic\Data\Terrain
These files or similar files should be in the folder.
US_60x60Terrain.map
WEuro_60x60Terrain.map
If the folder is empty then terrain is not installed and you need to run the terrain installer again.
3) In order to display terrain, you need to enable terrain in the Settings\Geographic Data menu in APIC.