"How does it handle in the snow and ice? "
If this wasn't considered during the development of these cars, the team deserves to be fired. Answer - probably better and more responsibly than humans

"How does it make split second moral decisions that will result in the death or life of individuals. "
Since the computer reacts to situations much more quickly than a human, it would be extremely rare for these 'moral decisions' to actually come up at all. Can you think of a good example where a delay of mere milliseconds on a response is not enough to save the lives of both parties?

"How does it handle people on bikes? Does it differentiate between animals and humans? How? "
No need to differentiate, just don't hit either of them. Would it be approved if the car hits people on bikes? Google's car already deals with cyclists effectively, I'd be surprised if these cars don't.

Even though your questions are warranted, if you had read the article, you would know that the car is not a finished prototype, it can't be put on the streets yet and it does respond well to any kind of obstacles that pop in front of it, if driven at low speeds. That being said, you would have known that the systems are not yet as advanced as to cater to a complete driving experience. It can park and retrieve your car for you, though, and that can still be called progress. :)