Assume I have an \"images\" folder directory under the root of my application. How can I, from within a .css file, reference an image in this directory using an ASP.NET app
Make you life easy, just put images used in your CSS in the /css/ folder alongside /css/style.css. Then when you reference your images, use relative paths (e.g. url(images/image.jpg)).
I still keep images that are displayed with a in an /images/ folder. Photos for example are content, they are not part of the website's skin/theme. Thus, they do not belong in the /css/ folder.