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Will it let you select your startup disk when you follow the above steps? If so, you should be able to boot and have a working mac. let me know if this doesnt work, or if you get stuck and cant complete these steps.
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So holding down command option and R didnt take you to the recovery screen?
Nothing at all changed? What about if you hold down X or if you hold down the option key as soon as you press power to start the mac?
How long have you had this mac, and when was the last time that it owuld boot properly?
It sounds to me like your hard drive has failed. And considering how old the machine is, your hard drive was past its expected lifespan by quite a bit.
Thankfully, the cost of replacing the hard drive isnt too steep.. You can get a compatible drive here. http://amzn.to/29zUxK9
Once you install the hard drive, youd just need to reinstall mac osx after that using either an install cd or a install USB. You can get a pre made installer usb from here for 9$ http://amzn.to/29GTmtq
Keep in mind though, you can also get an entire macbook used for 179$. http://amzn.to/29BBb6R
Considering your 17" model is worth a bit more then that 15" model, it may be worth repairing your macbook rather then replacing it.
If you have further questions, let me know.
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