The simplest way to format your hard disk and it seems to work each time that I use:
I have an original install windows98 cd.
I go into the Set up On my computer first to make sure that the CD is read before the Hard Drive
Then I put my Win98 cd into the CD drive. I shut down the computer and
Reboot with the 98 disk . I follow the prompts and say I want to boot from the cd.
For some strange reason, this cycles in twice after the first time I select boot from the cd
It then allows me to format the disk.
I have done this many times
[ the format has not failed me if there is no password situation]
An additional note:
I also have installed the 98 program, made a startup floppy disk, then went into
the folder c:\windows\command and copied the format command onto the floppy. It is possible to fool with that floppy and then use the format command from there sometimes.