In any modern computer, the hard drive is the biggest bottleneck of any of the components. Upgrading from a mechanical HD to an SSD will give you the biggest speed boost of any other component. You would want to replace the c: drive with the SSD and use that to run windows & all of your apps.
However, from your report it also looks like you only have 2gb of ram installed - are you running 32 or 64-bit windows? If you're running 64 bit, you'll want to also bump that to 4GB.
Thanks for the info. I will look into a SSD. I am currently running windows 64 bit. I will also look into the ram...anything particular I should look for when buying RAM? Most places recommend buying the cheapest you can find. Also I am guessing I need to get DDR2 and not 3.