ArcGIS 9.2 And SQL2005 Problems

Good Morning All

My Company is using ArcGIS 9.1 and SQL2000. He have a inhouse Esri Application running. So we want to upgrade to ArcGIS 9.2 and SQL2005. We want to use the Old Compatibility in SQl2005, to leave 2 databases on SQL2000. i would like to know the Followinng.

What Should we Keep in mind while upgrading ArcGIS 9.2?

Will ArcGis 9.2 work with the Database that is in the Old Compatibility mode on SQl 2005?

Will our Python scrtipts get Affected in our Map object Routine ?

Am new to GIS, please be Patient with me



Thanks