Locked Process Hang Ups Not In Error Logs?? Memory Usage Too??

Details:
MS SQL 2000 dual Intel 1.2 GHz processors.
1 GB RAM
2.1 GB dB
Dynamic Memory Managment.
No other apps running on this server.

First question:
Since I have Dynamic Memory Managment setup, Is it usuall that the
sqlsrv.exe process on the server steadily climbs and is in the 800 to
900 MB range. There is only about 20 MB free. In theory this is how
DMM can work, but do people really see it work this way.

Second question:
I had users complaining about lockups in the app I have to support
that connects to this dB. At first I thought it was the large use of
memory, but once I was able to see in Enterprise Manager that there
was process blocking several other processes. EM then locked up and I
couldn't get to the details of what the exact process was that was
doing the blocking. After restarting SQL services things were fine.
When I checked the logs there was nothing there about a hung process.
The logs seemed very sparse. Why would there not be anything in the
logs about it. The logs actually seem very thin on any information.

Thanks,

T.