Well, the issue is that there's not *really* that much information on the CD; the CD can hold 700MB. Now, that can be 700MB of *compressed* information; for example, a regular CD can hold about 70 minutes of uncompressed music, but it can hold roughly
700 minutes of MP3 compressed music.
Uncompressed video is HUGE... but if you compress it with, for example, DIVX, then it will be considerably smaller and thus you can fit a "longer" video, but the CD is still physically limited to 700MB.
When you copy the files from that CD, since it has multiple file entries pointing to the same files, your computer is copying the file multiple times; that is why you're seeing so much data.
As far as actually copying the CD is concerned, just about any CD mastering software (Roxio, NERO, CloneCD, etc) will make an image of the CD, and write the image back to a blank. But dragging/dropping the files into a temporary directory then burning them back again won't work; because when you drag/drop them, you're making multiple copies (one for each directory entry).
It's like this:
Doc1.doc, doc2.doc and doc3.doc all point to the same PHYSICAL file, which is 1K in size.
No matter which one you open, you're opening the same physical file.
HOWEVER, if you copy them, since there are three file entries, you will get three *identical* files, with 3 different names, totalling 3K in size. On the CD, it's not 3K, it's only 1K, but because there are three different directory entries pointing to the same physical file, windows will make 3 copies of the same file if you attempt to copy it elsewhere.
It's a little bit of smoke and mirrors to make the computer *think* that there are 3 separate files, when in fact, it's just three INDEXES to the same physical file.
Kind of like 3 card catalogue entries, but they all reference the same book.
Just my 2¢
"What the captain doesn't realize is that we've secretly exchanged his dilithium crystals for new Folger's Crystals." -- My Sister
--Greg