Can't open any *.exe files

Question

When I try to open .exe files I get an error message that says "This file does not have a program associated with it for performing this action. Create an association in the Folder Options control panel." I've gone to control panel > tools > folder options > file types and tried to set "exe" to "application," but that doesn't seem to work. Funny enough, I am able to open other types of programs like pictures, videos and PDF files, and if I open an html file directly I can open Firefox, but I can't open firefox.exe directly. I would like to run an antivirus or malware-check program but, of course, I can't open any .exe files.
I am running Windows XP SP3 on a Lenovo Thinkpad T61.

Answer 1

See if you are able to download DDS and save it to your desktop.
Disable any script blocking protection
Double click dds.scr to run the tool.
When done, DDS.txt will open.
Click Yes at the next prompt for Optional Scan.
Save both reports to your desktop.
Please note: You may have to disable any script protection running if the scan fails to run. After downloading the tool, disconnect from the internet and disable all antivirus protection. Run the scan, enable your A/V and reconnect to the internet. Some instructions for disabling AV are HERE.
Please include the contents of the following logs by copying and pasting the text of each into your next reply:
DDS.txt
Attach.txt
* NOTE: You may need to use another computer to download DDS to a CD or USB flash drive and transfer it to the Desktop of the computer with the problem.
Based on what shows up in those logs I will post additional advice.
ThinkPad: T530 / X1 Gen 2 / Helix - Yoga: Tablet 2 Pro (Win) / Yoga 3 Pro
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Lenovo Advocate ~ I am not employed by Lenovo or Microsoft. I am a volunteer.
Microsoft MVP - Consumer Security
SpywareHammer