When you first connect to live you go trough hv test and hypervisor to make sure your not on a hacked hand.
yes you do the run the iso files(games)you have to have a modded xbox 360 unless you use the same programs microsoft does
You need a special xbox called a jtag that is a modded xbox designed to hack games although Microsoft can detect Jtag hacks so its a matter of time until your banned from xbox live.
Yes, they definitely can.
no they do not if you put it on your file share=yes
I can insure you that you will not be caught by Microsoft and banned, Microsoft can not track your consol but can track your online account, but it don't matter since you got your Xbox 360 modded into the hardrive not on your online account so therefore Microsoft cant ban you and you are free to download any content online.
Call Microsoft.
you can play ,but sooner or later youll be detected by microsoft and have your console banned !
You can not get hacks on your Xbox 360 with modding it. Since there are lots of different mods and different places to get it modded, it depends, but I am guessing that it would be around $100 to get it modded. I do not recommend getting it modded though, as it is in a shaky spot of whether it is legal or not, and Microsoft could find out and ban your account.
yes
I would buy the Kinect for your Xbox but not a modded controller as you will get suspended if you play with a modded controller.
No, You cant even Play on xbox live with a modded xbox 360 or modded game
A Microsoft XBOX 360 does not run an emulator. You can only play XBOX based games. Any XBOX 360 that has an emulator to play non XBOX games is a modded XBOX 360.