Homebrew PCBs

I know there is another Yahoo group for this but I can't get my 
messages to post there for some reason and was hoping someone here 
has experience with this...

I am currently working on building my own CNC machine and I've been 
researching this board and the net for about a week and I've got 
some basic questions and was hoping someone here can lend me a hand?

1) I use Eagle to layout my PCB's and I outputed a job using the CAM 
processor and choose Gerber as the output format. The file it 
produced is formated like:

X007708Y008148D02*

The file is in inches and I was wondering how to do you read this? 
Is it telling the machine to move the drill to X coordinate 007708 
from the home (0) position? If so is .007708 inches away or 
something else?

2) The first line in the file is x=0 and y=0 in the format above, I 
am assuming its telling the drill to move to home position first. 
How do you determine where that point is on a board? Is it the top 
left hand corner of the board looking down on it?

3) Which axis is the X axis? I mean, is the one that moves left to 
right when looking at the machine from the front?

Thanks for any help you can give...