Cannot access operating system, cannot restore or repair, and cannot reinstall with dvd

My computer is a 20 month old Dell Inspiron 1525 and I have been running Vista on it. Two days ago the battery died after a new update and when I plugged it in later I could not access Vista. I get a screen which says:

"window error recovery / windows failed to start. A recent hardware or software change might be the cause. To fix the problem: 1) Insert your windows installation disc and restart your computer. 2) choose your language settings, and then click next.  3) Click "repair your computer""

Then it gives me the option to start windows normally, in safe mode, in safe mode with networking, safe mode with command prompt, or at the last known good configuration.

No matter which of these options I choose, I then get the normal black screen with the horizontal loading bar on it, only this screen never goes to the sign in screen, it just continues eternally loading.

When I try to load using my windows installation disc, I also have problems. By pressing F12 I am given the option of booting from the operating system dvd, and then am shown a screen which says press any key to boot from cd or dvd. A screen then appears which says "Windows is loading files" with a progress bar across the bottom of the screen. There is then the loading bar screen which quickly switches to a black screen on which after a number of minutes a mouse arrow appears. The dvd stops spinning when this screen comes up. I have left it running for a while on this screen and nothing happens.

I have read that usually F8 pressed as the computer loads will give you the option to repair computer, however, I unfortunately am not seeing this on mine.

There are a number of similar problems discussed elsewhere, but I could not find anything quite like this, and would really appreciate any help that anyone can give me. I do not mind if I have to reinstall my operating system, as I have everything important backed up on an external hard drive.