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Disconnect from your IDE for the moment, a jrxml file is just an xml file, eg just like any other text file you can just edit it using a text editor. Jasper than compiles this xml file into a more...

I don't have time to gather all the requirements right now to test this (again, I've only used this in a server environment in which the deployment already contained the necessary libraries), but it...

Yes. Also make sure the required libraries are also on the classpath (there are some commons libraries, iText, etc...should be outlined in the link above)

Could be overkill. I've only used it in a server setting in which someone else did the dirty work, and it's comprehensive and useful. iReports could useful in creating the templates.

You might wish to look into reporting libraries, for instance Jasper Reports. You can create a template, which can then be populated by the data source