#Temporary views and functions return errors stating they're not allowed.
Use Text-only results, and include the execution plan to see the index has been used.
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-- #Temporary tables and indexes work
-- Procedures can be created, but I don't know the current syntax.
-- Include execution plan to see index is used.
CREATE TABLE #Test (id int IDENTITY(1,1) NOT NULL, v VARCHAR(MAX) NOT NULL)
CREATE INDEX #IX_T on #Test(id)
INSERT INTO #Test(v) SELECT @@VERSION
INSERT INTO #Test(v) VALUES ('Yay!')
SELECT * FROM #Test Order By id