Can you check the Recovery Disk using CDCheck if it fail the test you know for sure that the problem is a bad burned disk or it's bad due to scratches or similar.I have no idea why it doesn't work. And I don't have the money to get another set of recovery disc at the moment.
Hardware related? What do you mean?
Its only a theory but the Wireless card can be bad, it's failing and giving troubles until stop working completely.
Where would the wireless card be located on my Acer Aspire 5750?