1) After surgery what is a good amount of excercise? -
start off with walking. Walking is the best thing you can do to start with. I started working out more at 6 weeks and as time has gone by, I've added more activities to my routine. I work out 30 minutes a day 4 times a week.
2) Is there a waiting period before starting excercise?
You should probably ask your doctor this question. Like I said, I started walking right away, but didn't over do it.
3) Is there a waiting period before sex?
This all depends on how you feel. We were told that we could after our 2 week follow up meeting. Bill & I didn't wait that long. 
4) What can be expected right now I am 500lb, 6 feet tall?
I'm not sure I understand your question. I know afterwards when the weight starts coming off, you're going to feel GREAT!
5) How long is the average hospital stay?
2-3 days...depending on how you feel and what your surgeon thinks.
6) I hear theres a lot of hernias after such a surgery?
I've heard that as well. Knock on wood...I haven't gotten one.
7) I hear a lot about doing paper work before getting surgery? What is this about?
Basically, you need to make sure you have all your ducks in a row. Documentation in your medical records that you've attempted at least one medically supervised diet for 6 months. There is a lot of paperwork that is needed. We had to write out our diet history, why we want to have surgery, medical history, etc.
8) Out of the following list have anyone heard of this conditions stopping?
Sleep Apnea, Diabetes, Infertility, High Colesteral, DVT -
I don't know what DVT is, but the rest I've heard have been resolved from the weight loss. I stopped snoring completely the day of surgery! My blood sugar is normal, my blood pressure is normal, my arthritis is better, you just feel so much better when the weight starts coming off.
I want you to know that these are all great questions and if you have any other questions, regardless of what they are, please don't hesitate to ask. I do want you to know that if I could do this over again, I would definitely do it in a heartbeat! I am so pleased with my progress and how well I've healed. I know that once I'm done with losing all of my weight, I will want to have some cosmetic surgery, such as a tummy tuck. I have stretch marks on my lower tummy from being pregnant with close to 9 lb. babies each time. I would like to get rid of that and the semi-loose skin I have in that area. Whatever it takes...even if I can't afford the tummy tuck right away, my weight loss is good enough for me. I don't regret it one bit.
Good luck to you & I'm glad you posted your picture! Now we can put a name to a face. 