Log Shipped but Won't Update

Question

I'm currently taking the MS SQL 2K5 Admin course at a local college and ran into a problem with the Log Shipping part.

My setup is the following:

Windows 7 x64 SQL 2005 SP3 2 SQL server instances on the same machine

Log Shipping settings:

1. Performed full then log back up of Primary
2. Manually restore on Secondary in STANDBY MODE
3. Insert a new record into the table
4. Set up Log Shipping on Primary using SQL Authenication login to connect to the Secondary
5. Set up timers and copy destination on Secondary
6. Monitoring instance not being used

I set up a shared folder for WORKGROUP so both instances on the machine can read & write to it. I can see transaction logs generated and copied as defined by the Transaction Shipping wizard. However, the specified table on the Secondary instance is not updating.