1) Maxima and minima refer to the highest and lowest points of a function's curve and can be found using calculus without graphing.
2) For functions of two variables, a stationary point occurs where the partial derivatives are zero. If the second derivative test is positive and the first derivative is negative, it is a relative maximum; if the second derivative test is positive and the first derivative is positive, it is a relative minimum.
3) Applications of finding maxima and minima exist in fields like economics and engineering to optimize objectives like profit or cost subject to constraints.