OptiPlex 780 A15 Will Not Recognize Intel 320 Series 120GB SSD During Win 7 64-bit Installation

My old SATA 160GB hard drive died and I tried to install an Intel 320 Series 120GB SSD into the computer but it will not recognize the 120GB SSD during the re-installation of Dell 64-bit Win 7 (using DVD). The BIOS (ver. A15) recognize it but not during the installation of the OS. I have tried different SATA Drive options (RAID Autodetect / AHCI, RAID Autodetect / ATA, Raid On and Legacy) but with no success and the SSD is a known good drive because it works in other computers.

During the re-installation of the OS from DVD, it will go through the "Windows is loading files....." progress, then it will turn into Starting Windows (but without the Windows 7 logo) and then it will reboot.

Any suggestions or ideas will be greatly appreciated.