Answer:
Maria y sus amigos están vacacionando en un Resort en Puerto Rico; todos están muy felices. Su amigo Miguel está comiendo en el restaurante, mientras que Lupita está nadando en la alberca y María está sentada en la arena de la playa admirando el atardecer.
Explanation:
As you may know, the open question "¿qué están haciendo?" means What are they doing? which allows us to know that we need to use the present continuous in order to answer this question. The present continuous is used when things are happening at the moment --right now-- and we use the suffix -ing on the verbs in order to make this grammatically correct in English plus the verb to be (am, is, are) and in spanish is suffix -iendo, -ando and the verb to be (soy, está, es, están, estoy). The text says the following in English:
Maria and her firends are vacationing at a resort in Puerto Rico; everyone are really happy. Her friend Miguel is eating in the restaurant while Lupita is swimming in the swimming pool and María is sitting on the sand admiring the sunset.