Dell Inspiron 1501 Graphic Issue

My sister’s Dell Inspiron’s 1501 hasn’t been work with viewing photos and videos (crappy picture). I updated the drivers for the Graphic card. I plugged it into an external monitor, it had crappy picture too. I did a diagnostic to check the video card connections, they checked out OK. Here are some Specs…

ATI Radeon Xpress 1150 256mb
AMD Processor
1gb ram
generic dell lcd monitor w/ truLIFE
Windows XP sp3

More Specs by request…PLEASE HELP…(it doesn’t help much when you can’t edit/view photos when you are a journalist)

THANKS