I'd suspect a problem with the burned disc unless your hard drive is bad.
You might try it again with the bare minimum hardware connected: 1 hard drive, 1 DVD drive, 1 stick of RAM, video card, monitor, keyboard, mouse.
You could test the hard drive with the manufacturer's utility.
You could use the clean command in Diskpart to wipe the hard drive before beginning the install.
You don't choose to format a disk with the installer. Formatting is done automatically after you have chosen where to install Windows. If the partition is already formatted, you can delete it and create a new one, which will be formatted automatically at the next step.