Hi Arkroyal
AVG scans ZIP files. The Jingle.zip:\ Jingle.exe just means that jingle.exe inside jingle.zip is infected.
1. What do you mean by Microsoft directed you to a site after the initial error? Do you mean the AVG warning? What site did it take you to?
2. It's unlikely that the trojan is causing a reboot. What happens when it restarts? Do you get any messages or just a totally unexpected restart?
3. It's in your attachments folder. Did you download this from a trusted source? If not, then advice snippet #1. Ignore all emails, especially attachments, from unknown sources. If so, let the sender know they might have a problem.
4. It might be a "false positive". AVG is sadly a shadow of it's former self and is known for false positives. Download another AV program, e.g. Avast, and scan the same file. If you are prevented from download an AV program, this could well be a symptom of a trojan.
5. Generic16 is a well known trojan. The various letters that come after it indicate variants. In general, it will change your desktop image to imply that your PC is infected. It will also redirect your browser to various websites, some of which will try to trick you into buying "scareware", others will try to download additional malware.
Scareware - Wikipedia, the free encyclopedia
6. Advice snippet #2. If you keep Windows patched and don't do your everyday stuff as an administrator, you will have little to fear in the future. I have had one virus/trojan/other nasty in 4 years, and that was because I didn't follow my own advice. Truth is, keep patched, run as a plain old user and Windows is very secure (I'm assuming you're running XP SP3 or later).
If you are able to install another AV and it confirms the trojan, then you're going to need expert help to remove it. This link may help with identifying a false positive.
AVG Forums - How To Handle Suspicious False Positive Detection?
What's your geek level from 1 (normal person) to 5 (true geek)?
Hope this helps
Cheers