I played the first part of the game. She is in the first room with a stand like a compass in the middle of the room. She was in mouse control so I saved the game and put it in keyboard control it said I was in kb control however when I went back I was still in mouse control so I went back to the Main Menu and the cursor was frozen on mouse control even though I had put it in kb control and was informed of that fact. I quit the game and reentered the cursor was stuck on New Game and would not work when I clicked on it nor would it let me select any other option. I am using Windows 7. Any help would be appreciated.

Have you tried rebooting the computer?
If that doesn't work, try uninstalling and reinstalling the game to a location other than C:\Program Files. Start the game by right-clicking the Shortcut and choosing "Run As Administrator."
If you have an antivirus running in the background, try disabling it.

will try that thanks Jenny,

i uninstalled and reinstalled it and the cursor is still frozen on new game. Will try once more.Then if still frozen there will give it up i dont understand why this is happening because I played the frist few minutes of the game until I wanted to change to kb instead of mouse.

It sounds like the uninstall didn't get rid of everything if the cursor is still frozen. You may need to make sure the game folder is gone after uninstalling it and then run Ccleaner's Registry Scan. Windows 7 may also store game data in a subfolder of the AppData folder for this game, but I don't know the exact location.

I always had to play this game in compatibility mode. Give it a try maybe that would help?