Hal, you are wrong!!! I haven't installed AD (or any other LDAP) on my laptop!

Diana, When installing SQL server I chose mixed mode! I haven't had time yet to try windows authentication.

Here is a paste from my Web.config:
=== start paste ===
-->
    <authentication mode="Forms">
        <forms name="GadgetsWarehouseAuth" loginUrl="login.aspx" protection="All" path="/" />
    </authentication>
===
<appSettings>
   <add key="ErrorViewUrlPrefix" value="/GadgetsWarehouse/ErrorLog/" />
   <add key="ErrorLogBaseDir" value="C:\inetpub\wwwroot\GadgetsWarehouse\Errors\ " />
   <add key="DefaultDataSource" value="user id=gadgetuser; password=gadgetuser; database=GadgetsWarehouse; server=gapoce01;"/>
   <add key="OrderQueue" value=".\private$\Orders"/>
 </appSettings>
=== end paste ===
I have manually added 'gadgetuser' (pwd:'gadgetuser')in SQLServer.

Hope this helps!