Hi MikeFromMesa,
Please Go to VM Configure (
http://kb.parallels.com/117287) > Hardware > Hard disk 1 > please check the size of Virtual hard disk and Start Windows, go to Start ► Control Panel ► Administrative Tools ► Computer management ► Disk Management. The size of the main partition (the partition Windows boots from; it is (C

by default) should be equal to the size of the Virtual Hard Disk (Hard Disk 1).
The capacity of a virtual hard disk can be set from 100 MB to 2 TB.
Virtual hard disks can be of either plain or expanding format.
Plain: A plain virtual hard disk image file has a fixed size. The size is determined when the disk is created.
Expanding: An expanding virtual hard disk image file is small initially. Its size grows as you add applications and data to the virtual hard disk in the guest OS.
When you create a virtual machine, the disk is created in the expanding format. Please follow the steps suggested at
http://kb.parallels.com/113972 to give more hard disk space to Windows Virtual Machine.
Click to expand...