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#11
I was able to use diskpart to reformat the entire drive. It was easier than I thought it would be. Now I have 931Gb free on my 1Tb drive--I think that's all I can get. Windows boots fine on the 80Gb drive without the 1Tb plugged in, so I felt secture to wipe the 1Tb. I did a "clean all" in diskpart just to make sure.
The Gateway system restore disks will restore disks will restore the system back to factory defaults but there is no system recovery option. I was, however, able to enter the system recovery from the safeboot option menu without the disks.
Overall I think this is what I wanted: A clean 1Tb drive with no remnants of Windows, a full functioning window 7 on the 80Gb, a working backup copy of windows on disks, and I will also create a backup image.
Please let me know if there is anything I left out. Thanks Gregrocker and Bare Foot Kid for the advice and tutorials.