Re: bios update error
Try a different mouse, if that doesn't fix it, try reinstalling, but if that doesn't do it either, the board may be screwed up. Does any USB devices other than mouse work?
If you can't return the board, providing it's screwed, then maybe a USB PCI card may solve it.
Also, go in the BIOS, and make sure the USB is well enabled, set to Hispeed, and try enabling USB Legacy mode.