1) You can get a free Trial to Create Copilots in Copilot Studio. You don't have to pay anything until you want to Publish and use the Copilot. There is no charge for development. You are charged for the messages consumed by the Copilot being used. This is normally done through a Tenant license which provides 500 messages a month. Once you have a Tenant license you can replace the Trial license with as many free user licenses as you need for development.
2) The only real difference is that the $200 plan provides 500 messages per month that you can use. The Pay as You Go plan charges for the actual number of messages you use per month. I also believe the cost per message is a bit higher for Pay as You Go, but the plan may be cheaper if you don't use exactly 500 messages per month because you pay based on actual consumption.
3) You setup Pay as You Go by creating a creating a billing plan in Azure and applying that to your Copilot Studio environments. YOu are then charged in your Azure billing each month. This article will explain more: Pay-as-you-go plan overview - Power Platform | Microsoft Learn
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Paul Papanek Stork, MVP Blog: https://www.dontpapanic.com/blog
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