(Your test data doesn't work as written, since you tried to insert the value 1 into your ID field twice, after defining it as the primary key.)
Yes, your tests are correct, and are the expected behavior. Why would they not be?
If you set ANSI_PADDING "off", it will do it the way you seem to expect. ANSI_PADDING "on", does it the way your tests show. "On" is the recommended setting. (See "SET ANSI_PADDING" in Books Online for details.)
- Gus "GSquared", RSVP, OODA, MAP, NMVP, FAQ, SAT, SQL, DNA, RNA, UOI, IOU, AM, PM, AD, BC, BCE, USA, UN, CF, ROFL, LOL, ETC
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