>Can products in the database have multiple options?
>For example, I want to have 2 drop down boxes for t-shirts
>to select color and size. Yes, products can have multiple options.
>Can I charge an extra fee depending on the option? I need to
>to charge a bit extra for larger sizes.
At this point, product options do not support additional fees. However there is a workaround. This page can serve as an example (in this computer configurator options with prices can be added from the drop-down menu):
http://www.shoppingcart.org/demo.html
>Can I have multiple images for each product?
Yes, you can upload unlimited number of images per 1 product.
>Can I configure custom variables for each product?
I believe that yes. You would have to be more specific.