Bluescreen of death before Windows can even start-up

This is an Acer laptop. With an Intel (R) Celeron (R) CPU.
The VGA BIOS Version: Intel V1518. Product name: Aspirte 5315.
I've tried safe-mode, debugging mode, everything.
It says UNMOUNTABLE_BOOT_VOLUME
Technical Information:
*** STOP: 0X000000ED (0x8615C00000185,0x00000000,0x00000000)
I've tried to re-boot up with windows 7 installation disk but it just freezes when it shows the Windows logo.
It mentions something about disabling BIOS memory options such as caching or shadowing. I couldn't find it in the BIOS. Help please, much appreciated. Any additional information needed, just ask. Thanks.

Run check disk
http://www.sevenforums.com/tutorials/433-disk-check.html?ltr=D

Check the hard drive with the manufacturer's diagnostic tools.
Hard Drive Diagnostics Tools and Utilities (Storage) - TACKtech Corp.
HD Diagnostic

I can not even log into the computer, it does BSoD right at the windows logo.

You can run check disk from here:
http://www.sevenforums.com/tutorials/668-system-recovery-options.html

http://www.sevenforums.com/tutorials/2083-system-repair-disc-create.html