Desktop Background Picture Problem

Here's the deal. On my Compaq WinXP, when I go to Desktop/Background and choose a picture via Browse and then apply, it will show my picture on the desktop with no problem. If I choose another picture, then the last one I had doesn't list in the BACKGROUND list any more. The only ones that show are the default ones that came with the computer. This is fine with me. Now, my girlfriend's computer, which is a Dell and also a WinXP, shows a list of pictures from her Picture Folder instead of just a handful of basic default ones like in mine. Is Dell set up different than other computers when it comes to listing background pictures? Does the Picture Folder have anything to do with that list? She would like to get rid of that list and just have the basics showing like in mine. Is this possible? I couldn't find anything pertaining to this in searches. Anyone out there have any ideas??? It would be greatly appreciated!

 

ok. Since it's not a Dell issue, anyone know where in XP I can fix this? I used to be able to find stuff easy enough in win98, but XP sure likes to make things complicated! I do like most of the new features in there, though, but sometimes we old timers (oops!) like things the old way.