I understand that
(1) "$A$ if and only if $B$" ($A\iff B)$
means that
(2) "$A$ implies $B$ and $B$ implies $A$" $(A\implies B)\land (B\implies A)$.
The phrase "$A$ if and only if $B$" sounds as though something applies exclusively or precisely in case something else is true, i.e., not only does $B$ make $A$ true, but $B$ is the only thing that makes $A$ true. If this is the case, then how exactly does this interpretation relate to two things implying one another?
For the Bounty:
(1) I think that a natural interpretation of the statement $A$ if and only if $B$ is that $A$ is true precisely in case $B$ is true, i.e., if $B$ is true, then $A$ is true, and if $B$ is false, then $A$ is false. Is this correct? And if so, how does this interpretation mean that $A$ and $B$ imply one another and also have the same truth value?
(2) Related to (1), the (true) statement $\forall x\in\mathbb R:2x=5\iff x={5\over 2}$ means that for any replacement of the variable, the two statements have the same truth value. How does two statements having the same truth value in all cases mean that they imply each other?
(3) Most importantly, I need exposition. Am I missing anything obvious, or is this a simple thing?
We can use the above definition to check the following:
$$0 \wedge 0 = 0, \quad 1 \wedge 1 = 1,\quad 1 \wedge 0 = 0, \quad 0 \wedge 1 = 0$$
This information can be neatly arranged into a $2 \times 2$ table (try it!).
$$0 \iff 0 = 1, \quad 1 \iff 1 = 1,\quad 1 \iff 0 = 0, \quad 0 \iff 1 = 0$$ Once again, try putting this into a $2 \times 2$ table.
$$0 \implies 0 = 1, \quad 1 \implies 1 = 1,\quad 1 \implies 0 = 0, \quad 0 \implies 1 = 1$$
Table? Good.
We're now ready to prove:
To prove this, we have to check $4$ cases:
I'll do Case (2) for you:
$\mathrm{LHS} = (1 \iff 1) = 1$
$\mathrm{RHS} = (1 \implies 1) \wedge (1 \implies 1) = 1 \wedge 1 = 1$
So $\mathrm{LHS} = \mathrm{RHS}$
Now you just have to check the other three cases.