Question : Faking a domain

Note:  I am using a Windows Vista 32-bit OS.  

I am trying a system on someone else PC, since the development work will be done in the other person's pc; and, I was advised to that in order to avoid all of the extra hassle of buying domains and DNS-pointing, that I pick a domain name, and "fake it".

1ST PROBLEM --- I found the local host file in my PC (I believe), but it gives me "you can't create the ..... file". (See attached error) I am opening it with NotePad, and then without making any changes I try to save the unchanged file.  I understand that the file type is 'file' and when one saves with notepad it changes it to 'text'.  So, how do I save it so that it works.  

2ND PROBLEM -- Once I am able to open a save this local host file in my pc.  I need to add their IP address and a domain name chosen by me.  Does the domain name I enter next to their IP address need to be a domain a have purchased or just  a made up one?

Thanks,
JP

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Answer : Faking a domain

1. the problem you have is permissions to the file.  to write to the file, you need to start notepad by right clicking on the notepad icon and choosing 'run as administrator'.  you can then open the file and make the necessary changes.

2. i would recommend that you use the domain name that you intend to use for the final website you are developing and give it the IP address 127.0.0.1.  however, it if is all web based, then you could just type in your browser 'http://localhost' and it will find the default website on your local machine.

good luck