long day; AC tech support couldn't solve the problem, that makes the problem seem more mystifying - today we uninstalled sql svr 2005, reinstalled AC, sql svr/AC was not loaded;
reinstalled SQL SVr 2005, reinstalled AC only to see that it is asking for an older install file (KB893803-v2-x86) which was taken off the downloads on Microsoft since SQL 2005 was released (?); have rebooted the server after each modification; it seems like the solution is incipient, but hidden from us; I'm thinking of reformatting the server, and reloading Server 2003, and starting fresh; I might be able to salvage functionality by reloading from one of my backups off the server if the system was mirrored entirely from an earlier point - gonna check with my IT backup; I will let you know where I'm at with this tomorrow; lucky for me I synched my notebook and database before all this trouble so I can at least run off that for now