difference between sex and gender

Watch the following videos

http://abc13.com/health/transgender-community-gets-real-about-transition-process/679599/

After watching both videos, I would like you to answer the following questions:

1) What is the difference between sex and gender?

2) The person in the video, Veronika Simms, is Transgender and a personal friend of mine.  She was biologically born as a male, and now she lives her life as a female (identity).  What are your thoughts of Veronika and her being transgender?  Is this really considered gender dysphoria? Does being transgender automatically make you homosexual? Is there a difference between sexual orientation and gender identity?

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