yes because because the files could have been burned form the disk to the computer coppied then put up for download in a file download website example:adfly
RAM drive
yes
If you do not have Windows 7 on a DVD or have not made a back-up of 7, or do not have the hard drive partitioned with 7 saved on that partition, you are out of luck.
Windows can not use ISO images without additional software.
yes
download it
No.
dvd
Downgrade it, you can use a Windows XP install disk to undo the Windows 7 one.
It must be a Dynamic disk, not Basic.
Getting around a windows 7 password without using any recovery disk will take a lot of computer skills to do it. Considering using any recovery disks tool in the market,Password Recovery Disk For Windows 7
Windows Update.