Please scan with Malwarebytes and post a log: http://download.cnet.com/Malwarebyt...
svchost.exe is found in the Windows\System32 folder. If it's anywhere other than that, it's most likely a virus.
You'll also want to make sure all files/folders aren't hidden. You can do this by going to Start > Control Panel > Appearance and Personalization > Show hidden files or folders, make sure "Show hidden files and folders" is checked, then click "Apply", and "Ok".
Helpful tips before getting started: http://www.computing.net/howtos/sho...</