I apologize for this answer being so long. I tried to note all of my logic as I worked through the puzzle myself, only to find that (I think) it is impossible as typed. I believe there is a typo in one of the clues. ("Only two person sits between..." I believe should be "Only one person sits between...") For the sake of logic-checking, I maintained my first work with the typo, then put all of the work for the fixed version after the line break. My answers to the questions are:
A, C, E, ??, D
My work:
(A - H will be used as above. Occupations will be abbreviated as EN, DO, TE, PI, BS, BA, LA and BL. A single seat is represented first by the letter, then by the occupation, or -/--.)
B sits in second to the right of the builder
This means that there is exactly one seat between B and the builder, and that B will be to the builder's right-hand side, which changes their orientation depending on the row in which they sit. This gives us four possible positions. I think rotation is arbitrary, however, so that gives us two possibilities. (Incidentally, this also means that B is not the Builder.)
-/--, -/--, -/--, -/--
-/BL, -/--, B/--, -/--
-/--, -/--, -/--, -/--
-/--, -/BL, -/--, B/--
G faces the immediate neighbor of the Builder.
This means that Builder's neighbor, x, sits next to Builder, and across from G. This positions G diagonal from Builder. There are only three possible positions for G. (This also means G isn't Builder.)
-/--, G/--, -/--, -/--
-/BL, -/--, B/--, -/--
G/--, -/--, -/--, -/--
-/--, -/BL, -/--, B/--
-/--, -/--, G/--, -/--
-/--, -/BL, -/--, B/--
Only two person sits between G and the pilot.
I question whether this one should say "only one person sits between..." If so, that changes everything from here on.
Well, this means there are two empty seats between G and Pilot. There is only one situation in which this is possible, our second layout above. (This also eliminates G as Pilot, and B as Pilot, since there is no scenario in which G and B are two seats apart.)
G/--, -/--, -/--, -/PI
-/--, -/BL, -/--, B/--
Two people sit between H and the Lawyer.
This tells us that H is on one end of a row while Lawyer is on the other. Unfortunately, there are many scenarios in which this can be true. So I'm going to ignore it for now and see if it's more significant on my second loop through the clues.
D faces the immediate neighbor of pilot.
We know where Pilot is sitting, and he only has one neighbor. So we can easily conclude that D sits next to B in our layout.
G/--, -/--, -/--, -/PI
-/--, -/BL, D/--, B/--
Only one person sits between teacher and C.
This gives us a lot of options. If you combine it with the next clue, however, it narrows it down quite a bit.
Teacher does not sit at any of the extreme ends.
This means Teacher must sit in one of the four middle seats. But since the previous clue says C is one spot away from Teacher, there are two places where Teacher can't be sitting because B and G are already occupying the place where C would have to sit in those cases. So now we have:
G/--, -/TE, -/--, C/PI
-/--, -/BL, D/--, B/--
G/--, -/--, -/--, -/PI
C/--, -/BL, D/TE, B/--
Immediate neighbor of D faces the doctor.
D's immediate neighbors are B and Builder. Since we know that B is already facing the Pilot, that means Builder must be facing the Doctor. This eliminates our first layout above, since Teacher is positioned across from Builder there.
G/--, -/DO, -/--, -/PI
C/--, -/BL, D/TE, B/--
E faces engineer, F is not a banker.
These two clues don't seem to help much right now, since we haven't dealt with E, F, Engineer or Banker thus far. I'd like to revisit the clue I skipped earlier, though.
Two people sit between H and the Lawyer.
This clue means that H and Lawyer are at opposite ends of the same row. There is only one possible place where H could be positioned at the end of a row now.
G/LA, -/DO, -/--, H/PI
C/--, -/BL, D/TE, B/--
Aaaaand this makes E faces Engineer impossible. So I'm guessing that the third clue was probably typed wrong. Or maybe I messed up somewhere. Let me back up and try it the other way...
B sits in second to the right of the builder
This means that there is exactly one seat between B and the builder, and that B will be to the builder's right-hand side, which changes their orientation depending on the row in which they sit. This gives us four possible positions. I think rotation is arbitrary, however, so that gives us two possibilities. (Incidentally, this also means that B is not the Builder.)
-/--, -/--, -/--, -/--
-/BL, -/--, B/--, -/--
-/--, -/--, -/--, -/--
-/--, -/BL, -/--, B/--
G faces the immediate neighbor of the Builder.
This means that Builder's neighbor, x, sits next to Builder, and across from G. This positions G diagonal from Builder. There are only three possible positions for G. (This also means G isn't Builder.)
-/--, G/--, -/--, -/--
-/BL, -/--, B/--, -/--
G/--, -/--, -/--, -/--
-/--, -/BL, -/--, B/--
-/--, -/--, G/--, -/--
-/--, -/BL, -/--, B/--
Only ONE person sits between G and the pilot.
This gives Pilot three possible positions:
-/--, G/--, -/--, -/PI
-/BL, -/--, B/--, -/--
G/--, -/--, -/PI, -/--
-/--, -/BL, -/--, B/--
-/PI, -/--, G/--, -/--
-/--, -/BL, -/--, B/--
D faces the immediate neighbor of pilot.
This positions D diagonally from Pilot, which puts him in only two possible positions:
G/--, -/--, -/PI, -/--
-/--, D/BL, -/--, B/--
-/PI, -/--, G/--, -/--
-/--, D/BL, -/--, B/--
Only one person sits between teacher and C. Teacher does not sit at any of the extreme ends.
This puts us at five possibilities. Not fun.
G/--, -/TE, -/PI, C/--
-/--, D/BL, -/--, B/--
G/--, -/--, -/PI, -/--
C/--, D/BL, -/TE, B/--
C/PI, -/--, G/TE, -/--
-/--, D/BL, -/--, B/--
-/PI, -/TE, G/--, C/--
-/--, D/BL, -/--, B/--
-/PI, -/--, G/--, -/--
C/--, D/BL, -/TE, B/--
Immediate neighbor of D faces the doctor.
This at least eliminates the middle option, since both diagonals from D already have an occupation.
G/--, -/TE, -/PI, C/--
-/--, D/BL, -/--, B/--
G/--, -/--, -/PI, -/--
C/--, D/BL, -/TE, B/--
-/PI, -/TE, G/--, C/--
-/--, D/BL, -/--, B/--
-/PI, -/--, G/--, -/--
C/--, D/BL, -/TE, B/--
Two people sit between H and the Lawyer.
There are many possibilities for this, but I'm hoping other clues will narrow them down...
G/--, -/TE, -/PI, C/--
H/--, D/BL, -/--, B/LA
G/LA, -/--, -/PI, H/--
C/--, D/BL, -/TE, B/--
H/PI, -/TE, G/--, C/LA
-/--, D/BL, -/--, B/--
-/PI, -/TE, G/--, C/--
H/--, D/BL, -/--, B/LA
H/PI, -/--, G/--, -/LA
C/--, D/BL, -/TE, B/--
E faces engineer.
This actually does narrow it down a little:
G/--, -/TE, E/PI, C/--
H/--, D/BL, -/EN, B/LA
H/PI, -/TE, G/EN, C/LA
-/--, D/BL, E/--, B/--
E/PI, -/TE, G/--, C/--
H/EN, D/BL, -/--, B/LA
-/PI, -/TE, G/EN, C/--
H/--, D/BL, E/--, B/LA
H/PI, -/--, G/EN, -/LA
C/--, D/BL, E/TE, B/--
H/PI, -/--, G/--, E/LA
C/--, D/BL, -/TE, B/EN
Immediate neighbor of D faces the doctor.
This eliminates any layouts above in which both of D's diagonals already have occupations.
G/DO, -/TE, E/PI, C/--
H/--, D/BL, -/EN, B/LA
E/PI, -/TE, G/DO, C/--
H/EN, D/BL, -/--, B/LA
H/PI, -/--, G/DO, E/LA
C/--, D/BL, -/TE, B/EN
We have no information, really, about F, A, Businessman, or Banker. But let's check out the questions and see if we have enough information to answer them.
1. Who among the following sit in the extreme ends of the rows ?
a) B and pilot
b) C and builder //This is never true in any layout.
c) The Builder and G //This is never true in any layout.
d) G and the engineer //This is never true in any layout.
e) A,G //This is never true in any layout.
**This eliminates one of our layouts above...
E/PI, -/TE, G/DO, C/--
H/EN, D/BL, -/--, B/LA
H/PI, -/--, G/DO, E/LA
C/--, D/BL, -/TE, B/EN
2. Who among the following is the banker?
a) A
b) B //This is never true in any layout.
c) C
d) E //This is never true in any layout.
e) G //This is never true in any layout.
**We can't answer this yet, but maybe we can later.
3. Who is/are seated between lawyer and the doctor ?
a) Pilot only
b) G and the businessman
c) F,E
d) businessman and the banker
e) No one //This is true in both layouts.
4. Who among the following faces the businessman ?
a) A //See note.
b) Doctor
c) F //See note.
d) Teacher //See note.
e) Builder
The Businessman must occupy a space with a blank occupation. Those blanks are never situated across from A, F, or Teacher. This also means:
E/PI, -/TE, G/DO, C/--
H/EN, D/BL, -/BS, B/LA
H/PI, -/BS, G/DO, E/LA
C/--, D/BL, -/TE, B/EN
5. Which of the following is true regarding G ?
a) D faces G //This is never true in any layout.
b) The pilot is an immediate neighbor of G //This is never true in any layout.
c) G faces the person who is second left to the Banker //This is never true in any layout.
d) G is the doctor
e) G sits at one of the extreme ends of the line. //This is never true in any layout.
2. Who among the following is the banker ?
a) A //This can't be true in either layout.
c) C
E/PI, -/TE, G/DO, C/BA
H/EN, D/BL, -/BS, B/LA
H/PI, -/BS, G/DO, E/LA
C/BA, D/BL, -/TE, B/EN
Aaand I'm stumped for the last question.