Not sure if this is new or not but i didn't see it in any other posts.
If you have graphics problems under Windows XP similar to the picture
1. Click: Start->Run and type in the run box dxdiag.exe
This will open the DirectX Diagnostic Tool.
2. Click the 3rd tab "DISPLAY"
3. Goto DirectX Features, DirectDraw Acceleration and click DISABLE then EXIT, restart FMS.
And the game should run fine in all resolutions.
If this still doesn't help, go to the next tab Sound1 and slide the Hardware Sound Acceleration Level to the left 1 or more spots, restart the sim.
This worked on all 3 of my computers with XP sp1-3. (not tested on sp2) and with 7 through 8.5 versions of FMS.
Hope this helps.
H4F