How do you deal with WinModems
Never having had one (thank God), I can't tell you from personal experience. There are drivers for some of them for Linux. However, if you're running Knoppix from the CD, it's (mostly) a read-only file system, so you can't install drivers.

If you decide to install Knoppix (or another Linux distro), Linmodems.org might help you turn your "Winmodem" into a "Linmodem."

[Edit - well, I messed that up, let's try again.]
A clarification on the password question: In Knoppix off the CD, you can't just type "passwd" in a console to change the normal user's (aka the "knoppix") password, because it'll ask you to type in the existing password, and, of course, one isn't set yet. Instead, either set the root password, and then use KUser (on the System menu) to set the normal user's password; or, as root, in a console window, type "passwd knoppix" to change it.

You will have to set a root password before you can use any of the admin tools in KDE, such as adjusting the date/time (as you've noticed, it asks for one).

Hey, my Knoppix 3.4 d/l just completed!