1) Is there a better way to do program start up with a Live CD boot than using bootlocal.sh especially for the FLTK applicaion I just described?
Any scripts in ~/.X.d are sourced at the end of the ~/.xsession script. Put your script in that directory before X starts. If you look in it, you will notice wbar is started this way. Make sure to preserve your change so it is restored when you reboot.
2) How do you add user applications to the right click menu on the desktop?
Create a file in the /usr/local/tce.menu directory. Examine a simple extension, such as ace-of-penguins.tcz, for an example.
3) Can I change the main CD boot menu where Enter, F2 or F3 need to be pressed?
There are many options listed in the
syslinux wiki. You can also learn how to use menu.c32 or vesamenu.c32 to create a menu of choices similar to what you see with grub.