The tension cancels out because it just connects the system without doing much else -- as long as the string is taut, the two objects connected will experience the same acceleration so in this sort of case it doesn't matter what the tension is, but of course there are cases where it does matter. Note that the same tension runs through the entire string (if it's taut), or else the string would accelerate relative to the rest of the system.
"Suddenly disconnected" just means T is no longer acting on the 12 kg mass, so basically you just need draw a new diagram and see what forces are left to act on it. It's probably a good idea this time to take motion down the plane as positive for ease of calculation. In retrospect I probably just would have taken downward as positive to begin with. =P
For a), use the equation s = ut + (1/2)at^2 (you have u = 1 m/s, you can work out a from calculating the net force, and you have s = 8 m)
For b) do the same thing except with u = 0 m/s
Note that if it works out that the (maximum) frictional force (µN) is greater than the resultant weight force (12gsin(30)) then the object will not move, even though you'd calculate an acceleration up the plane (a negative acceleration). This is because friction will only be as big as it needs to be (or else objects would start moving on their own), until it reaches its maximum value of µN, which is something you need to be conscious of in your calculations. If you assume friction is ALWAYS µN you might calculate an acceleration up the plane, but nothing is actually causing it to move up. I hope that makes sense. That said, you'll probably get a positive acceleration, but it was worth mentioning.