Adenn--Well worked soil is good for planting beets to give the roots plenty of room, but the beet itself often sits partially out of the soil--think of an iceberg. It is not totally buried like a potato would be. Beet "seeds" are actually fruits containg several seeds--thus you usually get several plants coming up in one spot and need to thin.
The red pigment in beets is beta cyanine. It is water soluble, heat stable, and acid stable--thus it survives the human digestive system in colorful fashion.
Interestingly, the color of juice from red cabbage is pH dependent--it turns green at basic pH.
Beets are tasty most any way, IMHO.