I really don't use it now that I have the iPod classic but it is pretty much the standard run of the mill shuffle. I would say 40 or so, but I am just guessing at best there. I have literally used it twice. Yes, it has a clip on the back. It looks pretty much like it came straight out of the box as you can kind of see from the second pic of me holding it.
For frequently asked questions about iPod shuffle (3rd generation) ,see this article. Up to 120 songs on the 512 MB model and up to 240 songs on the 1 GB model (based on 128 kbps AAC files at 4 minutes per song).
iPod shuffle Frequently asked questions (FAQ) - Apple Support support.apple.com/kb/ht2018
I will look around to see if I still have the ear buds that came with it. I should, but they were not in the drawer that I had this stored in. I probably put them in my misc. electronics box. I will look for them.