1. The document outlines 10 steps to convert a PSD file to XHTML and CSS: separate content from decoration, make a webpage layout, create XHTML markup, validate XHTML, slice the PSD, export slices as images, apply CSS, validate CSS, test for bugs, and test for cross-browser bugs. 2. Key aspects of the conversion include examining the design to separate information content from decorative elements, creating XHTML divs for content sections, slicing images from the PSD and exporting them, and applying CSS styles while validating the code and testing for bugs across browsers. 3. The goal is to have the XHTML match the PSD design while keeping file sizes small through optimized images and efficient code.