Hi Tina. The reason it is showing up large on the front page is because that template wants the thumbnails to be 70px wide...so it is scaling up the image. The product detail page just uses the images actual width, in this case 42px. The best fix for this is if you change the canvas size in Photoshop to 70 pixels wide with a white background for that image, it should look fine.
As for the buy now button, did you recently change your layout from one column to 3? If so, open up product_t.tpl and remove the comments around the buy now code. I think it reads something like "*** Uncomment it if you need 'Buy Now' button ***}"
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Padraic Ryan
Ryan Design Studio
Professional E-Commerce Development
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