Mike,

>1. I've already changed the Autogrowth of the following files
> Data File (Autogrowth = 10% Unrestricted Growth) (Initial size = 35138 MB)
> Log File (Autogrowth = 10% Restricted Growth) (Initial size = 10668 MB)
>
> Have I set it up correctly?

That should be fine, we like to have fixed MB size increments, but percentage works too.

>3. How heavily inserted is your database? How heavily updated is it?
>
> We have approximately 2000 to 3000 transactions per day. That would be about 6000 to 10000 records being inserted on our tables.
> Updates do not happen very often. We only do updates for data correction, transaction adjustments and the like.

So what is that in terms of rough percentage of the tables involved? ie how many transactions are in the database already?

>4. Is it possible or normal for the index file size to exceed the data file size, considering that only 50 percent of the fields have index?

Quite often a table will have more space consumed by index than data. The question becomes if you really need all of those indexes to support the queries being run against the database. Do you have a lot of really complex indexes, ones composed of several fields? A lot of times those can be removed and replaced with much simpler single field indexes.

dbcc showcontig( 'TheTable' ) WITH tableresults, ALL_INDEXES

Run the above in query analyzer and copy/paste the result over to excel, add two columns: ActualCount / BestCount, and ( AcutalCount - BestCount ) * 8192. These two numbers give you a better look at how many times too big the number of index pages are and how many bytes of waste you have. The worst ones give you candidates for reindexing.

This is some code adapted from some article that I've used to do global space analysis on a database:

dbcc updateusage(0) with no_infomsgs -- only needs to be run once

declare @dbsize       dec(15,0)
declare @bytesperpage dec(15,0)
declare @unused       dec(15,0)

/*
**  reserved: sum(reserved) where indid in (0, 1, 255)
**  data: sum(dpages) where indid < 2 + sum(used) where indid = 255 (text)
**  indexp: sum(used) where indid in (0, 1, 255) - data
**  unused: sum(reserved) - sum(used) where indid in (0, 1, 255)
*/
create table #spt_space
(
   [Database Name] varchar(64),
   [Table Name]    varchar(64),
   rows            int null,
   reserved        dec(15,0) null,
   data            dec(15,0) null,
   indexp          dec(15,0) null,
   unused          dec(15,0) null
)

set nocount on

select @dbsize = sum(convert(dec(15),size))
   from dbo.sysfiles
   where (status & 64 = 0)

select @bytesperpage = low
   from master.dbo.spt_values
   where number = 1 and type = 'E'

select @unused = sum(convert(dec(15),reserved))
   from sysindexes
   where indid in (0, 1, 255)

insert into #spt_space values
   (
   db_name(),
   '',
   null,
   @dbsize,
   null,
   null,
   @dbsize - @unused
   )

create table #temp ( 
   uid          int identity(1,1), 
   id           int, 
   [Table Name] varchar(64),
   pages1       int null,
   pages2       int null,
   reserved     int null,
   indexexp     int null,
   rows         int null,
   unused       int null
   )

insert into #temp ( id, [Table Name] )
   select id, name
      from sysobjects
      where xType = 'U'

update #temp
   set pages1 = ( select sum(dpages)
                     from sysindexes
                     where indid < 2 and #temp.id = sysindexes.id )
update #temp
   set pages2 = ( select isnull(sum(used), 0)
                     from sysindexes
                     where indid = 255 and #temp.id = sysindexes.id )
update #temp
   set reserved = ( select sum(reserved)
                       from sysindexes
                       where indid in (0, 1, 255) and #temp.id = sysindexes.id )
update #temp
   set indexexp = ( select sum(used)
                     from sysindexes
                     where indid in (0, 1, 255) and #temp.id = sysindexes.id ) - ( pages1 + pages2 )
update #temp
   set unused = reserved - indexexp - ( pages1 + pages2 )

update #temp
   set rows = ( select rows
                     from sysindexes
                     where indid < 2 and #temp.id = sysindexes.id )

--select * from #temp

insert into #spt_space 
   select
       db_name(),
       [Table Name],
       rows,
       reserved,
       pages1 + pages2,
       indexexp,
       unused
     from #temp

-- header row for Excel
select 'Database Name', 'Table Name',
   'rows',
   'Allocated space',
   'Data space',
   'Index space',
   'Unused space',
   'Percent Data',
   'Percent Index',
   'Percent Unused',
   'Percent of Database'

-- real data
select [Database Name], [Table Name],
   rows,
   [Allocated space] = reserved * @bytesperpage,
   [Data space] = data * @bytesperpage,
   [Index space] = indexp * @bytesperpage,
   [Unused space] = unused * @bytesperpage,
   [Percent Data] = case 
                       when reserved > 0 then cast( data / reserved * 100.0 as dec(5,1))
                       else 0.0 end,
   [Percent Index] = case
                       when reserved > 0 then cast( indexp / reserved * 100.0 as dec(5,1))
                       else 0.0 end,
   [Percent Unused] = case
                       when reserved > 0 then cast( unused / reserved * 100.0 as dec(5,1))
                       else 0.0 end,
   [Percent of Database] = cast( reserved / @dbsize * 100.0 as dec(5,1))
   from #spt_space
   order by [Table Name]

--order by [Allocated space]
--order by [Percent Unused]

drop table #spt_space
drop table #temp

Again these two result sets can be copied/pasted into Excel for further slicing and dicing (I suppose that could be contracted to Roncoing *bg*)