I'd like the following setup:
- A DMG file sits on my HD, taking up only the space of the contents, or perhaps only the space of the contents compressed.
- If I double-click on it, I need to give a password for it to open
- Once opened, I can drag files in and out, as long as I don't fill it up. The theoretical maximum should be the 4.6 or 8.3 GB DVD option from Disk Utility
- Once I've added (or removed) files from it, I can eject / unmount it
- When unmounted, it returns to the size of the contents and is again password protected.
Is this possible with disk images (DMGs)? What is the best way to set this up?