Well, I purchased an ibook off of e-bay, which has no administrator password. I attempted to boot from my OS X install DVD, however, the machine won't boot from it. I held down Option while booting, and instead of being able to select which drive to boot, yep, I got a symbol of a lock, and a request for a password. Can anybody please help me? I'm just so BROKE, and I don't think I could sell this to someone else now that I know I can't admin it. I don't care about any data on the drive, how can I get in to reinstall and erase?

Put the OS X disc in and boot while holding the C key down. You should get the Installer window. Check and Language and continue to the next screen, then go up to the Utility Menu to Reset Password.

Try booting while holding the C key down instead of the option key. If you have another Mac, you could put the iBook in Firewire Target Disk mode and do the reinstall from the other Mac.