<p>How much traffic can one web server handle? What's the best way to see if we're beyond that?</p>

<p>I have an ASP.Net application that has a couple hundred users. Aspects of it are fairly processor intensive, but thus far we have done fine with only one server to run both SqlServer and the site. It's running Windows Server 2003, 3.4 GHz with 3.5 GB of RAM. </p>

<p>But lately I've started to notice slows at various times, and I was wondering what's the best way to determine if the server is overloaded by the usage of the application or if I need to do something to fix the application (I don't really want to spend a lot of time hunting down little optimizations if I'm just expecting too much from the box).</p>

What you need is some info on
Capacity Planning
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Capacity planning is the process of planning for growth and forecasting peak usage periods in order to meet system and application capacity requirements. It involves extensive performance testing to establish the application's resource utilization and transaction throughput under load. First, you measure the number of visitors the site currently receives and how much demand each user places on the server, and then you calculate the computing resources (CPU, RAM, disk space, and network bandwidth) that are necessary to support current and future usage levels.