Is one better then the other?
Is one better then the other when looking at ICO's
Is there is cost difference in creating one over the other?
In response to your questions, although both of them are used interchangeably:
1. Token and coins are created to serve different purpose. Therefore one can not be said to be better than the other.
2. Nope, refer to my answer in 1.
3. I am not aware of the cost difference but I know creating tokens is a much easier process than coins.