Now the computer itself had a trojan or something wrong with it and I had to do a repair from the XP CD. Once that happened the computer itself restored back to regular XP without the service packs or anything. Once I tried to setup an update or anything it wouldn't allow me to because of the iexplore error.
Here is the exact error,
iexplore.exe - Entry point not found
The procedure entry point SetDllDirectoryW could not be located in the dynamic link library KERNEL32.dll. Now I do get several different variations of this when trying to run various different windows programs that require this.
I've tried, sfc /scannow, updating to IE 8, installing the service packs manually (causes a freeze on the welcome screen and the mouse stops working), and everything else you could imagine.
I think the trojan or virus or whatever it was caused problems in the System32 folder or something but I do need some help from you guys.