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Why is that I am not able to create login? Error:Server Prindipal 'ms\**** already exists

Posted By:      Posted Date: September 13, 2010    Points: 0   Category :Sql Server
Hi,   When I try to cretae a login, it gives the following error: Server Prindipal 'ms\**** already exists. The login is not there in sys.server_principals table also.  

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When I use the following setting to connect server, it succeeds
Server type: Database Engine
Server name: Home-PC
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User name: Home-PC\John

However, when I try to use the following setting to connect the same server, it fails as always
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Server name: Home-PC
Authentication: SQL Server Authentication 

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For help, click: http://go.microsoft.com/fwlink?ProdName=Microsoft+SQL+Server&EvtSrc=MSSQLServer&EvtID=18456&LinkId=20476

Then, I enter the server to change some

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