I have installed VMware server...and i wanted to install XP on the VM....so i put in the CD and it is detected...and it goes to the Windows XP setup screen.....but i have no idea if im doing it right or not...it is asking me to use the unpartitioned space that will use 8189 MB but since i only have a 120 gig hard drive in this laptop...i dont want it to take all my space....

my questions are...
1) should i create a new partition...if so how much?

and

2) if i use the unpartitioned space which is 8189 will it take all my space on my hard drive?

Please help...thanks