Short version
The team passes the first task of the Chunin exam fairly smoothly with the use of their signature abilities. Hinata is close to giving up at the tenth question in fear that it's a trap specifically for Naruto, but is encouraged when he speaks up in defiance, and Kurenai later tells her that her fears were not entirely without cause. They then enter the Forest of Death for the second task.
Longer version
The rules of the first portion of the Chuunin Exams are explained: answer ten questions, don't get caught cheating five times, and teammates of anyone who fails will also fail. Naruto is already stressing over a shuriken physics question. While Hinata cheats with her Byakugan, Shino uses a kikai specially bred for good eyesight.
Eventually, Naruto realizes that the entire purpose of the test is to cheat. When Kankuro leaves for the bathroom, Naruto comes up with a plan. He asks a proctor in his row for a restroom break. In the restroom, Naruto secretly makes three clones. After Naruto and the proctor leave, the clones disguise themselves as Iruka, Guy, and Kurenai, and sneak across the rooves of Konoha to the library. There they seek out the answers to the test, and return to the exam building. When they try to catch Naruto's attention through the window, they are caught by Genma Shiranui. Realizing they are imposters, Genma dispels the clones with senbon. To his own surprise, Naruto receives the clones' memories and writes down the anwsers.
Ibiki announces the rules of the tenth question: one can choose not to take it, upon which they and their teammates will be disqualified. If they do take it and fail, they will be permanently banned from taking the Chuunin Exams. Kiba objects, pointing out that other students have taken the test before, but Ibiki says that this his new rule. Several examinees quit, and Naruto sees Hinata's concern. Realizing Hinata is worried for his dream to become Hokage, and sensing Ibiki's manipulations, Naruto stands on his desk and accuses Ibiki of lying. He argues that the other villages wouldn't approve of such a rule, and declares that he will proceed either way and still become Hokage. No remaining examinees give up after Naruto's speech, so Ibiki passes all of them.
When Sakura questions this, Ibiki reveals there is no tenth question, aside from deciding to proceed. Temari calls the event a waste, but Ibiki explains that it tested their information gathering skills. A shinobi caught seeking information on a mission can cause disaster for their team and village. He then portrays the tenth question as the decisive choice to proceed with a mission with dangerous consequences, as there will always be risks. Naruto compares this to Kurenai's teachings, wondering if it is about minimizing risk. Anko Mitarashi bombastically appears to announce herself as the second stage's examiner, along with her intention to make over half fail. She tells them to ask their jonin instructor for the location of the meeting the next day, and dismisses them.
In a lounge at the Hokage's tower, the jonin instructors are gathered. Kurenai recalls being approached by Ibiki after the death of her team. Her survival made her a possible suspect in conspiracy. In a private meeting, Kurenai told Ibiki of her suspicions about the attack. Ibiki conceded that they held weight, but warned her to be cautious, as there could be a greater plot at hand. Kurenai's parents were visiting Wind Country at that time. One week later, she learns they were killed in a fire.
Hayate Gekko and Genma Shiranui arrive at the lounge. The latter tells of his encounter with Naruto's clones, and the jonin realize it was Naruto. Explaining the mechanics of the Shadow Clone jutsu, Kakashi reveals that Genma helped Naruto get the information he needed for the test. When Kakashi teases him and Kurenai, the latter threatens to have her genin burn his Icha Icha books. Ibiki arrives at the lounge and reveals to Kurenai that Naruto had one of the highest scores. He also explains how he gave the tenth question, and how Naruto loudly objected and vowed to fire him as Hokage. Kurenai is amused.
At Moritake's, Kurenai discusses the written test with her students, and gives them directions to the second examination. Sensing discomfort from Hinata, Kurenai speaks with her privately after. Hinata breaks down and admits she was about to give up to protect Naruto's dream, fearing that people conspired against him. Kurenai comforts her and assures her that she only cared for Naruto. When Hinata is still unsettled, Kurenai cautiously reveals the signs of the conspiracy against Naruto. Hinata asks if her father is part of it, to which Kurenai admits she doesn't know. Seeing her student's anger, Kurenai remembers a story overheard from her parents, of a woman named Natsuki and her father. He sought to marry her into royalty, and so refused any other suitors till she was 39. Natsuki then prepared a meal of poison mushrooms that killed them both. Kurenai compares this scenario to that of Hinata and Hiashi.
Team 8 arrives at the Forest of Death the next day, well-packed and ready. Naruto compliments Hinata on her detail-oriented nature. He realizes that she, like himself, isn't used to praise, but wonders why. He then asks her to double-check his supplies with her Byakugan, to her embarrassment. Anko arrives and hands out forms consenting for risk of death. She explains the rules of the second test: 14 teams will receive a Heaven scroll, and 14 an Earth scroll. Inside the ten-kilometer radius Forest of Death, a team must reach the tower at the center with both scrolls within five days to pass. No one will be allowed to leave in that time. All team members must reach the tower for the team to pass, and cannot look inside the scrolls before then.
The genin all fill out their forms and receive their scrolls. Team 8 receives a Heaven scroll, which Naruto carries. At gate sixteen, when the test starts, the team darts into the forest. As they leap through the canopy, Hinata checks their surroundings with her Byakugan. Shino signals them to evade a colony of Konoha Forest Leeches, and reveals that he planted female kikai on every team at the meeting area, allowing his other kikai to sense them a mile away.
Tropes:
- Achievements in Ignorance: Naruto manages to get the answers for the written exam when his Shadow Clones get destroyed - something he didn't know was possible.
- Blunt "Yes": Kurenai asks Kakashi if he has enough traps to protect his Icha Icha books. Kakashi briefly pales, then nods affirmatively.
- Book Dumb: Naruto hates written tests because they offer no room for creativity, whereas in other practice exercises he could figure out clever ways to succeed.
- Conveniently an Orphan: Kurenai's parents died in a fire during a visit to Wind Country. Seeing as it happened soon after the death of her team, it might not be a coincidence.
- Flechette Storm: Genma uses this to destroy Naruto's disguised clones.
- Government Conspiracy: Ibiki had agreed with Kurenai that something sinister is afoot in Konoha. If the death of Kurenai's parents in Wind Country soon after was no coincidence, it might even reach internationally in some respect.
- Head Desk: Genma Shirunai's reaction when he realizes his destruction of Naruto's Shadow Clones gave him the answers for the test.
- Not Cheating Unless You Get Caught: As in canon, the Chuunin Exam's first part requires the students to cheat. Unlike in canon, Naruto figures it out and makes an attempt.
- Silk Hiding Steel: Kurenai learns that Hinata hid Naruto's use of the Nine-Tails chakra from her father, and also sees Hinata's anger at the conspiracy against Naruto and the possibility that her father is involved. Kurenai recalls a story overheard from her parents, of a woman named Natsuki and her father. He sought to marry her into royalty, and so refused any other suitors till she was 39. Natsuki then prepared a meal of poison mushrooms that killed them both. Kurenai then wonders what Hinata could do to Hiashi.
- Tranquil Fury: Kurenai reveals the signs of the conspiracy against Naruto to Hinata. It is only moments after the fact that Kurenai realizes Hinata is angry.
- Unwitting Pawn: Genma Shiranui destroys Naruto's disguised clones with poisoned senbon. As Kakashi later explains, this allowed Naruto to receive their memories, granting him the answers to the test.
