"Kaʻiulani is her friend."
Translation:ʻO Kaʻiulani kona hoa.
Wow, that's a wild typo. :) It would be better if it was not marked as correct. Sometimes Duolingo is a bit too lenient in its grading. "Kaʻiulnai" as a typo for "Kaʻiulani" I can see, since the two letters "a" and "n" are switched, but the closest correct answer should be "ʻO kona hoa ʻo Kaʻiulani."