OK, with all the difficulties of setting up a new OS I am afraid to do the XP computer first.

So I am planning to install Linux on a secondary system I have to learn how it goes. Questions:
1) If you want to run WINE is it required to have at least one partition with a Windows compatible file system on the machine or does WINE 'mask' the actual file system from Windows programs that you run?
2) This is an old system -- k6-2 -- what programs are 'lighter' on the CPU and would run better. XFce is supposed to be a light and fast windowing environment, for example. Does it lack a lot of functionality?