New HD and new motherboard on Mac Mini and OSX will not start.

Long story but will do my best to keep it short...
Purchased Mac mini #1 at CompUSA years back and bought their extended warranty. Mini died 2+ years later which coincided with CUSA going out of business. Problem was a flashing folder with the Mac logo and a "?" at startup. My CUSA store was closing out and would not service my machine and gave me a phone number for the outsourced warranty/repair department. The tech took my info and decided a new HD was in order. I rec'd the new HD in the mail and a local tech came out and installed it (but refused to test it). After the tech left the same problem was found. Called warranty department immediately (literally 5 minutes later) and they siad they would send another HD as well as a mother board which I recieved a few days later. However, this time the local tech never showed back up and after a few weeks of calling the warranty number went dead. We ended up getting a new Mac mini which has been running fine since.
My daughter needed a computer so I figured I would give it a shot. It was actually very easy to replace the HD and MB. I tried starting the mini and it powers up but I got the same flashing folder so I put in the OS intall disc and after I select the language, I get a prompt that says "This software cannot be installed on this computer". I am using the original discs that came with this particular mini. I cannot get disc #1 out of the drive now but disc #2 says "Mac OSX Install Disc 2", "includes Mac OS9.2", and Disc version 1.3 2Z691-5533-A" on it. The mini itself says Mac mini 1.25G4/512MB/40GB/Combo/Modem on the underside.
Is this due to the fact that the entire inside of the Mini is new and now not compatible with the original software? How would I know what software to buy? Am I better off just taking it somewhere to get serviced or calling it a total loss? Any guidance would be much appreciated.

One the one hand I am being told that my OS discs are not working because they are unique (or keyed) to the original machine and since that machine essentially no loger exists due to repalacing the MB, I will need to purchase new software with a new license agreement.
It is true that computer specific install software is specific to the software with which it shipped. However replacing the logic board means that the new logic board is part of the computer. Unless the logic board was not an exact replacement, it should not make a difference; the original disks should work. In other words it has to do with the hardware not the license. The software license agreement allows the installation of a certain OS to one computer at a time, unless you have a multi-user license such as a family pack, which allows installation in up to five computers in the same household. The original computer specific software can be installed on a single computer no matter how many times. If that OS in that computer has been upgraded to a later OS, that installer can be used to install to another computer of the identical model so long as it is not simultaneously installed elsewhere. However, even then, it can technically be installed on another computer of the same model although installation of a single user licensed software will be a violation of the terms of the Software License Agreement.
The second opinion was that the original mini was equippmed with a powerpc processor and that the new MB I received is equipped with an intel processor.
True. Models of the mini released in 2005 and Early 2006 have PowerPC processors. Late 2006 and later have Intel processors.
Therefore, that pesron recommended that I purchase OSX 10.5 Leopard as this OS will cover both of those processors.
Partly true.
i. If your mini was released with Tiger it will support OS X 10.5x and later. If it was released in Early 2009 with Mac OS X 10.5.6 (9G2030) it will only support versions of Leopard earlier than 10.5.6 and, certainly OS X 10.6x.
ii. It will only both computers if you have a multi-user license.
iii. New Leopard installers will only install on your old mini if the original installer itself was the problem. If the problem is elsewhere, it is not quite as certain. Unfortunately there is no sure way to know that unless you buy the Full Retail Version of Leopard and attempt installing it.
cornelius

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