Widgetizing my theme! PLZ HELP

I already read the guide, however this is very confusing to me. I do not understand html that well, but i em taking classes right now so hopefulyl soon I will. This is my sidebar make up. Can sombeoy plz help!

<div id="navigation">
      <!-- Start of Navigation -->

      <div class="nav_title"><img src="<?php bloginfo('url'); ?>/wp-content/themes/drunkloser/images/last-posts.jpg" alt="Last Posts" /></div>

<ul>
       <?php
        $posts = get_posts('numberposts=5');
        foreach($posts as $post) :
        ?>

<li><a>"><?php the_title(); ?></a></li>
       <?php endforeach; ?>
	    </ul>
    <div class="nav_title"><img src="<?php bloginfo('url'); ?>/wp-content/themes/drunkloser/images/archives.jpg" alt="Archive" /></div>

<ul>
       <?php wp_get_archives('type=monthly&show_post_count=0'); ?>
      </ul>
    <div class="nav_title"><img src="<?php bloginfo('url'); ?>/wp-content/themes/drunkloser/images/links.jpg" alt="Links" /></div>

<ul>
      <?php wp_get_links(1); ?>
     </ul>
<table valign=top align=middle><tr><td><a>
"><IMG SRC="http://jerseyshor3.com/images/jerseysurvey.gif" BORDER=0 ALT=""></a></td></tr></table>

<!-- End of Navigation -->
    </div>