Are shemales born that way?

What you are asking about is called a hermaphrodite. It is a person born with both male and female sex organs called gonadal dysgenesis. It occurs in about 1% of mammals so it is an extremely rare occurence. Since the discovery of the DNA molecule, all hermaphodites tested so far have tested genetically female. Before that, doctors determined the gender by which set of sex organs was more predominant, and then removed the least predominant at birth.

What "shortcake" up there is talking about is a transgendered male.

Nope. It is born a MALE and later on in life decides he want to transform himself into woman. So, he'll take female hormones to get his hair and nails growing, to soften his voice, and to grown boobs. They'll later get a sex-change operation and sometimes breast implants. Some even get surgery done to soften the look of their face.

It takes alot of time,effort , and money for them to look the way they do.

Some are and its called a homorphokite. And the ones that aren't are called she males.

yes with both reproductive organs

what way?