"Preparing Desktop" then a Blue Screen with mouse...NEED HELP

Ok so my mother threw her laptop in front of me and there were boot up errors which included PXE-E61: Media test failure, check cable and Operating System Not Found. I firstly checked the BIOS and everything seemed to be fine there and i Restored to Default and Saved. I couldn't find her Vista disk that she should of got with her laptop so i used my own (Is this a mistake?). I then selected repair and it seemed to fix a file and windows started to run.

This is where the problem starts. It would do the normal windows loading (logo, green bar etc) then on the screen "Preparing Your Desktop" for a good few mins. Then it would load up with a Blue screen with only having the ability to use the mouse. I then did Ctrl+Alt+Delete and ran the task explorer.exe. This loaded a temporary desktop which wouldn't allow me to run most programs. Now at this point i wanted to run a System Restore but there are no Restore Points avaliable....(sigh).

Then i read somewhere else that i should delete some registery files. So i lauched regedit.exe and went to HKEY_LOCAL_MACHINE/SYSTEM/MountedDevices and deleted the files and restarted. This did not do anything and the files i deleted were restored and had to carry on from the blue screen again.

So, that's my problem and i would love some help or advice please If you need anymore information please ask.

Thanks,
Luke.

 

if you figure this out or solved the issue please let me know because i am having the same exact problem thanks