MySQL: replicating to a different table engine type

Question

According to the replication documentation from MySQL, it is possible to set up replication from InnoDB source tables to MyISAM destination tables. Unfortunately, the documentation has little to say about drawbacks, data consistency implications (apart from the CASCADE corner case) and recommended settings for enabling such a replication configuration. So just a number of questions come to my mind regarding this setup:

1. is statement-based replication preferred over the row-based variant or vice-versa?
2. does either the InnoDB or the MyISAM side need some specific settings so data consistency would not break all by itself as the result of "normal" replication activity?
3. are DDL executions on the master handled on the slave in a sane manner?
4. how would I prevent an ALTER TABLE blah ENGINE=InnoDB statement run at the master from propagating to the slave?
5. Is there a recommended way of setting up such a "split" setup? I could think of a direct ALTER TABLE blah ENGINE=MyISAM on the slave, is this viable?
6. any other caveats one should know about?