Sorry it has been a while but I almost gave up on it. None of what you posted worked. I have windows 8 installed so I don't think the windows 8 upgrade assistant will help. I have run the 8.1 upgrade assistant and it said everything was fine. The scannow thing said there was something that couldn't be fixed but I don't know what it is. I reran the upgrade and with the exact same results although I did notice a warning just before it gave a shutdown message in the log.
"Name resolution for the name teredo.ipv6.microsoft.com. timed out after none of the configured DNS servers responded."
This is after the four dcom error I mentioned before.
Any help is appreciated and I can send you logs if you need them.