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The Disk Usage report is showing lots of unused transaction log space (seems normal, there are hourly log backups). However the data file is mostly indexes and there is very little unused space. Is this normal?

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Unless you have manually expanded the database to a size which is larger than that of the database's data size there won't be any free space within the data file. As the file files the file will be expanded based on the auto growth setting of the data file.

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Autogrowth is currently set to 1MB, unrestricted. Good or bad? –  Marcus Dec 6 '12 at 11:56
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That would be bad. I typically recommend getting the autogrowth to 1 Gig unrestricted. That way it'll grow quickly enough without growing very often. –  mrdenny Dec 6 '12 at 11:58

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