VMWare Workstation - VM Footprints

[Guest Michelle68]

So I'm setting up a few VM's this morning to start working on skill refresh while I'm job hunting. Something that I noticed when looking at the footprint of the VM's are the size differentials of the VM and the space on disk (I'm including a screen shot) and they seem to be pretty large. 

 

My question is this - I've allocated 100gigs of space for this particular VM. Does VMWare automatically adjust disk sizing based on the available amount of disk space on the physical drive in relation to the initialized disk size, or does VMWare just continue to expand the VM as you add data to the virtual disk?

 

Meaning, if the actual disk is 11gigs, VMWare will expand to 18gigs of physical disk space to ensure there's room for writing regardless of what's available on the physical disk?

[Wombo]

When you create a VM it usually asks you how big you want the virtual hard drive to be. My guess is that size is just the remaining size of the virtual drive allocated to the VM but I cannot confirm.