Can I use AppleTV with no network at all?

As I understand it, once I get everything synched to an AppleTV, a network is no longer required (the ATV just plays everything stored on its own hard drive) until and unless I buy another CD, movie, or TV episode, at which case I have to get it onto the AppleTV.
Assuming I don't do a whole lot of buying of new material, would it be possible to just forget about the network altogether? Here's what I would do: When synching, I would (temporarily) move the computer down to where the AppleTV is, and connect it directly via an Ethernet cable. Then after I get it synched, I move the computer back upstairs and call it solved. No network, and the AppleTV just plays everything directly from its own HD. Assuming it has enough HD space to play my entire collection, which (if I buy the 160GB version) it would.
I mean, I suppose I could just use the computer to create its own network via Internet Sharing, but if I understand this correctly, I would have to leave the computer 'awake' all the time (I assume putting the computer to sleep would shut down any network thus created). Is this correct? Then again, going by my original question - forgetting about the network, and the ATV playing everything 'locally' - I suppose it wouldn't matter if the computer was awake or not, since unless I had something new to sync, it wouldn't use the network anyway. Am I close?

Yes, if you put the computer to sleep, any network created is shut down until the computer wakes again.
This may be a silly question, but...the network will come back with the same settings, right? So I wouldn't need to reprogram anything on the AppleTV's end?
Also, how much space do TV shows take when they're downloaded from iTunes? The show I'm interested in has 26 episodes of about 45 minutes each. How much space would this take?

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