What is the best in order, e.g like iron, steel, dwarven etc...

I believe its in part of the site. It depends on your armor levels anyway.

Yes, apparently you can't just wear any and all of the heavy armor, let's say - even though you've given your character good armor skills. You have to work your way up to wearing the really good stuff.

I'm pretty sure that the armor's protection level is proportional to your skill level of that armor type, eg having 50 in Heavy Armor will only give you 50% of all Heavy Armor's protection, and 100 gives you all protection (plus the bonuses)

Anyhow...

Light/Heavy Armor

Fur/Iron
Leather/Steel
Chainmail/Dwarven
Mithril/Orcish
Elven/Ebony
Glass/Daedric

As for weapons, I'm not entirely sure, but it goes something like

Iron
Steel
Dwarven
Elven
Glass
Daedric

I haven't seen all kinds of weapons though so =P. Also this is not counting "unique" armor that doesn't have any materials.