Frances - It depends on the resolution as far as enlarging an image.
I've been busy with life and have just gotten back to this thread. What I meant about resizing and photo resolution is that Xara has always kept the original photo in it's memory and you can resize a photo down really tiny and then size it back up again with out it becoming pixelated as long as you dont exceed the original photo's resolution. This hasn't always been the case with photoshop hence the smart objects.