You have a buttload of small issues.
The BIOS is ok. It may not be set right, but it is ok.
Go into bios - the first screen should show your hdd's - they should all show up. If one doesen't, it's "not there". Arrow down to "show" your hdd, then press "enter". It should give details on your hdd - write down those details.
Next, check each "page" in bios until you come to "boot order" - make first boot your floppy, second boot your hdd, third boot your CD rom.
If I understand correctly, you are using the big Hdd as a new replacement of the old 10 gig? If you are using two hdd's you need to set the jumpers on the back of each Hdd to "CS" for Cable Select if they are on the same data cable.
Google the "details" on your hdd using the wife's computer, and find a "set up" disk from your hdd mfg, and use it for "test", and then "format" it. Since it's so big, and you are using Win98, I'd "partition" it into three partitions.
While all of this booting and rebooting is going on, watch the screen and see if you see the term "boot menu" - some use "esc", some use "F8", etc. It's a nice shortcut if your board has the ability.
After all of this, and you are formatted. Put in the Win98 disk and choose "boot from CD rom" and it should install.