>>>Hi,
>>>
>>>As I am testing conversion from VFP data to SQL Server I am creating and deleting a test database in the SQL Server many, many times a day. Is there anything I should do to "pack" or recover space occupied by the deleted database?
>>>
>>>TIA.
>>
>>SQL Server will eventually reclaim the space. Just don't forget to make a frequent backups and transactional log backups.
>
>Thank you. What table/file is Transaction Log? I have never done back up of this; I only backup individual databases.

Each database has the database file (usually with extension of mdf) and the log file (usually same name with the log ldf extension).

You need to make backups of both database and log file. Please read

http://msdn.microsoft.com/en-us/library/ms186865.aspx

and pay attention to BACKUP LOG command.