How to connected two home PC's?

I have 2 PC at my home one is a dual pent 3 cpu server with windows Xp the other is a reg pent 4 with windows 7. I want to connect both of them to share file between them and to play games on network. i just want to know what is the best and most reasonable way to do this i am a noob so could some explain this to me like im a retard without any jargon keep it plain a simple

Buy a router...

No need to waste money on buying a router. Only a simple cross-over cable will do the job.

I assume that both your PCs have a LAN card installed on them.

^ But aren't routers really cheap these days?

Tenda Networking S105 5-Port Fast Ethernet Switch 5 10/100 Mbps LAN Ports Rs. 570 Jul, 06 2010

http://www.pakcm.com/pricelist.aspx?sb=9&cid=30

[quote=", post:, topic:"]

^ But aren’t routers really cheap these days?

Tenda Networking S105 5-Port Fast Ethernet Switch 5 10/100 Mbps LAN Ports Rs. 570 Jul, 06 2010

http://www.pakcm.com/pricelist.aspx?sb=9&cid=30

[/quote]

That is not a router. That is just a switch. A router is used to share an internet connection between multiple computers. A switch is used to network multiple computers. Routers start at Rs. 1600. Routers include built-in switches but switches don’t have built-in routers.

A crossover cable will cost Rs. 13 per meter plus Rs. 30 for the jacks and the attachment of the jacks to the cable. Total cost < Rs. 50.