[The_Tauren13]

1) Probably their maximum health goes up, but like you said, their current health probably stays low until they heal at the end of the turn.

2)From how I believe morale works, there is no such thing as 'average squad morale'. Heres how I think it works, but dont give it any real credit (nobody knows how morale works): Each units morale value is simply its chance of failing a morale check. Every time a unit fails a morale check, the squad loses 1 morale. The starting squad morale is just the total number of units in the squad, and when it reaches 0, they run. Probably then the 50 morale troops are not added into the starting squad morale; but as they cant fail any checks, they probably dont either hurt or help squad morale.