The difference between a physical reaction and a chemical reaction is composition. In a chemical reaction, there is a change in the composition of the substances in question; in a physical change there is a difference in the appearance, smell, or simple display of a sample of matter without a change in composition. Although we call them physical "reactions," no reaction is actually occurring.
Physical changes are usually about physical states of matter. Chemical changes happen on a molecular level when you have two or more molecules that interact. Chemical changes happen when atomic bonds are broken or created during chemical reactions.
Homogeneous because it completely dissolved so its now one. Heterogeneous would be when they don't dissolve and you see 2 separate substances like sand in water.