Free software has been around for a long time, i still find myself amazed with people who just don't know about it. So here is a short list of some very good free software!
open office
which is the open source free equal to microsoft office.
is just as good as office, actually it is better since it is free!
it works the same as office and is fully compatible. www.openoffice.org
here is a bunch more free software that really is just as good or very close to the ones you have to buy.

7-zip http://www.7zip.com/ which is the free equel to win zip.
AVG Antivirus http://free.avg.com/,
superantispyware http://www.superantispyware.com/,
cd burner xp http://cdburnerxp.se/

thunderbird (better than outlook express)
http://www.mozilla.com/en-US/thunderbird/
and a calendar add(lighting) on for thunderbird.
https://addons.mozilla.org/en-US/thunderbird/addon/2313
all excellent free programs
oh of course firefox www.firefox.com
here is an extended free software list
http://www.synergymx.com/foss_list.php
www.sourceforge.net is a another great place to find all kinds of free software

Open Office Write(Equal to Word screenshot)

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