Only took a shot at this one (and missed). Today I don't have the time to search the documentation, but mostly because this was IMHO a bit to complex question.

Are you unable to select the functions and the SP or are they missing in the generated script?

Try to use IP instead of Named Pipes or perhaps you need SQL Server 2008 R2 Native Client, but I seriously doubt you can install it on a Windows 2000...

It depends on the software that communicates with the Oracle...

If I understand the question correctly you have to transfer the ownership to another login before you drop the login:

USE [Your database]

GO

ALTER AUTHORIZATION ON SCHEMA::[dbo] TO [Another login]

GO

Interesting. Thanks for this one.

Good one. Once again I fell right into the trap. Must remember to RTFQ / RTFS (Read the **** Question / Statement)

There's no file extension specified as the second parameter. I think that's your problem.

I think principal_id >= xx should work. Lower numbers are usually reserved for system/builtin objects.

Interesting. Thanks for the tip.

Can you login to Server B from Server A with the LI_LOGIN account?

Is LI_LOGIN a Windows och SQL Server account?

Can you login to Server B with LI_LOGIN using Management Studio, SQLCMD or other tools, or do you get the same error?

This one was really useful for me. Thanks.

I agree with the Editorial. 7-8 copies, backup excluded, is probably not a low estimate. With 10+ developers inhouse I dare not think of the actual number. I relatively new...

Did you check the Client Tools Connectivity check box in the Feature Selection during Setup?