Router doesn't recognize internet connection

I have a WRT54GS V7 that I have been running for a few years now with no problems until today.
My wife used the internet from her laptop through the day but this evening after she moved to the bedroom and booted up the laptop, she found there was no internet connection. 
I tried what I know in cases like these, unplugging the router or modem for brief periods of time to try and get things going again but to no avail. So I tried using the Easylink Advisor which basically suggested the same process.
At this point, my internet connection is coming in from the cable just fine. I have access on the desktop which is wired and works with no problems. The modem and router lights are both signaling that everything is fine but no wireless internet coming from the router.
Using the desktop I tried looking for some solutions and tried resetting the router. I ultimately called customer support but being out of warranty they wanted too much to help although she suggested that I needed to reconfigure the router since I had reset it. I followed the online instructions for reconfiguring but still have gotten nowhere. 
I wonder if anybody else has any suggestions or am I just looking at a lost router here?

Even after the reset the wireless connection is still not working? Might have something to do with the wireless settings on the router. You may try the following wireless settings: ssid/wireless network name: should be unique ; channel: 1,3,6, or 9 ; security mode: wpa2 personal. On the laptop, you may try to delete the profile of the network first then after that, re-connect to the network. For further instructions on how to do that, refer to this link: Removing wireless network profiles or preferred networks. If ever it won't still work, download the firmware for this router from this site: http://homesupport.cisco.com/en-us/support/routers/WRT54GS. Make sure to select Hardware version 7.0. Proceed then with upgrading the firmware of the router. Instructions on how to upgrade the firmware of the router is here. After the upgrade, do another reset on the router - push and hold the reset button for 30seconds then power it off for 10-15 seconds. Once the power light goes solid, reconfigure the settings of the router again. You may refer to these links for the reconfiguration: Setting up a Linksys router with Cable Internet service & Setting up a Linksys router for DSL Internet connection.

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