when you try to boot in safe mode are you not able to use any of the options there,like last known good configuration? or any of the safe mode options? Tell us what happens when you try to use any of those safe mode options. Do you know how to try to boot in safe mode on that laptop? if not tell us the model. Try this info
Getting into Windows Safe Mode.

If I use one of the commands (escape, F8,)they work. I can get to a screen that allows booting up by another means (floppy disk, CD, etc). However, I cannot boot it up in Safe Mode.
I tried restoring to a previous default. No good.
Set Up Utility had an HDD test, both the short test and long test passed.
I can reach a screen as if for C prompt; it is black screen with flashing cursor for about 3 seconds. Am unable to type there.

Does that information help?

Do you happen to have AVG antivirus? they put out a bad update and many many people were affected, wondering if you could have had that happen. Most affected were windows 7 not sure what happens on xp. Here is an article on it
Horror AVG update

Do not go buying another XP CD, you do not need to do that at all. You should have, and probably still can, create a recovery CD but it seems like you already did that.

When you inserted the backup CD into the drive and rebooted what happened? You should have been offered the option to wipe and start squeaky clean or to do a repair install where nothing gets removed. did either of these choices get offered to you?

I do have AVG, but the computer failed prior to 12/2. I believe I lost the laptop on 11/30. (My PC failed prior to thanksgiving, due to power supply which I ordered, and replaced just yesterday.)

The back up CD was for my PC. As I stated, the laptop stated that the version of XP I had on my HP PC was not compatible with the compaq laptop. I was not offered either of the options you mentioned owbist.

One option is to borrow a retail copy of any XP disk from a friend, recovery cd will not work, boot from it and enter the recovery console once in the recovery console at the command prompt enter chkdsk /r If that does not work you could try this command at the prompt type fixmbr

If you can't get a retail XP cd from a friend you can burn the recovery console to a disk and boot form it. See link for that.

How to create a bootable XP Recovery Console CD if there is no XP media available.

It's actually pretty easy to do, download the ISO to desktop, then using a burn tool burn it to disk. All explained in the link...

Here is a link that might be useful: bootable XP Recovery Console CD

What brand and model....some laptops like Acer have a recovery partition which can be activated by key commands and put you right back to where it was out of the box...but of course everything loaded since then would have to be reinstalled

zep516, I have downloaded the recovery file, I don't know if I need the ImgBurn suggested in the article. I have used the CD unit to back up files which is copy; How do I tell if my unit burns the CD as referred to?

Put the cd in a good computer, restart the computer and see if it boots from it.

It should boot to a black window with a c prompt. That's where you type in the commands----and hit enter on keyboard.

So at the Recovery Console command prompt, type the following then press Enter:
chkdsk /r

See what happens. If that command failed or does not work type this one in fixmbr

I always use a program called ISO recorder by alex freeman, it creates a right click option, so you right click the ISO file on the desktop, make sure you have the blank cd in and choose burn.

No guarantees here.....

you have to burn it as an ISO which is different from burning as a regular cd like you normally do, if you do not burn it as an ISO it will not work. Your burner may burn ISO check and see if you see the option to burn as an ISO on it.

so far so good.
LT booted from recovery disk. Used chkdsk /r at c prompt. It's at a 58%, so I will check back with you soon.

please do let us know how it works. I may have to do this to someones pc in the near future if they can not get a copy of xp.

I was remembering another time we had that error here which ended with a good result, this was that thread
UNMOUNTABLE_BOOT_VOLUME Blue Screen

First, thank you all. ravencajun, I especially thank you for your simple explanation of ISO. zep516 - exactly what I needed. I wasn't sure about 32 or 64; but went with 32 and if that hadn't worked would have gone back and gotten the 64.

I was able to boot up from the disk; got the c prompt and put in chkdsk /r. It found 2 errors and fixed them. Then I exited, and opened in safe mode. Itried to uninstall the Silverlight, but it has an error in it. I decided not to go to MS to correct it so that I could uninstall it, since the LT was working and I wouldn't be using that program. I went to start/turn off/restart taking out the CD and the LT started up and is working fine.

Now I am going to the post about AVG since that is on the LT and I don't want to go on line until I am sure I can without the bad AVG update.

Thank you all so much for your patience and explanations!

excellent work!! so glad you got it taken care of. I love success stories.