This whole project is still as aggressively retarded as it was when it was first conceived (if not moreso), but, yeah, Yuffie looks perfect. Exactly how I picture her in my head. Nice work there.
Yes. Or at least Zack's name is written in katakana in the caption for that image. Unfortunately, I can't read the kanji, so I can't say the context for sure.
I love the way they've managed to conceptualize all the characters in such a cohesive and eloquent manner. They've done such a fantastic job of converting the style over into something more realistic yet still have similarity to the original drawings.