If used on a Water-type Pokémon, this move ignores the effectiveness of this move's type against Water and treats it as being super effective against Water types instead (even during Inverse Battles or if Freeze-Dry's type is changed). If Freeze-Dry's type is already super effective against Water (due to being an Inverse Battle or if Freeze-Dry's type is changed), it will still only be 2× effective against Water. The type effectiveness of Freeze-Dry's type against any other types the target has is determined normally.
Yes.
Source