To start with I would suggest you first decide which distro you want to use. Search at this forum and you will find many opinions on various distros. But you take the final decision on your own.
I will suggest Mandrake or PCQLinux. I use the former at home and the later at office. Both are nice and both come with all the softwares that you will require for your all basic needs like MP3, VCD, Email, Office Suite, Browser, etc. and there are loads of other stuff.
You can also have a look at Knoppix or Gnoppix. They are live distros and will run directly off a CD.