Hi Mian,

You can use the .NET client library from 
http://code.google.com/p/google-api-adwords-dotnet. Yes, the sandbox can be 
used for development and free testing, and once developed, you can switch to 
the production account. The .NET client library allows you to do so, you can 
make requests to sandbox or production by just changing the credentials and 
url endpoints in your App.config.

Let me know if you have more questions.

Cheers,
Anash P. Oommen,
AdWords API Advisor.

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