Sounds like the three button remote...if so:
Top button: push it to lock the car (you'll hear a "beep") push it again to unlock the car (you'll hear three "beeps")
Middle button: Once you have locked the car, push the middle button to "double-lock" the car (you'll hear two "beeps"). This turns on the alarm function and disables the inside door unlock buttons. (remember, top button unlocks car whether car is "single locked" or "double locked")
Bottom button: Panic button. Hold it in for a couple of seconds and the alarm starts to sound. Disable by hitting one of the other buttons on remote.
<span style='color:green'>1994 325i </span>- - - 75,000 mi.
No mods - - - very happy as is!
<span style='color:green'>1995 525i </span>- - - 154,000 mi.
No squeaks or rattles... unreal!