Make your iPhone 5 a Wi-Fi hotspot?

If so how do you do this?

I don't think so. It is possible on some Android Phones.

Yes you can, simply go to settings>General>Cellular> then hit Set Up Personal Hotspot

*Note you can only use hotspot if you have purchased it from your phone service provider.
Otherwise jailbreaking is your only option which voids warranty and is illegal.

Hope This Helped