I did figure out some things on Sunday. The new 1TB disk was set as dynamic. Using ShadowProtect in boot-from-CD mode, I deleted the partition, recreated it as regular Basic, formatted it, and made it Active.
I then restored the 500GB partition to the 1TB disk. However, nbw when I try to boot from the 1TB disk, the boot process stops on a blue screen with the microsoft red green blue yellow "flag", the words Microsoft Windows XP, and nothing else. Usually, this screen is immediately followed by the logon screen which looks very similar, but with a place to enter the password.
I've waited for 20 minutes in hopes of seeing the logon screen (thinking there might be some background processing going on), but no dice. Sure seems like it should work all the way now. Stuck again. Any suggestions would be most appreciated!