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Hold down the Power button of your Mac for 10 seconds and your Mac will turn off. Turn it back on and immediately hold down the Option key on your Keyboard. Keep it held down until it boots into Startup Manager screen. From startup manager screen select Mac OS X Install DVD and press return key. Does that boot your Mac to the disc ?
Now try to boot into the disc...Does that works ?
This seems like a hardware problem and you have to take it to the Apple Store. Sorry I couldn't solve your problem...
/sbin/fsck -fy (note the space between fsck and -fy) If you can't run /sbin/fsck - fy then type only fsk - fy Hit return and the disk utility should run and let it finish. When it finishes and there is no error, then type reboot and hit return. Let the Mac boot up. (Disk Utility will fix all system errors, bad preferences files etc)
If your Mac doesn't boot into Single User Mode, then it is a hardware problem and you have to take it to the Apple Store as we tried all troubleshooting steps so far.
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