simply put ....
Hardware is something you can touch like a screen, keyboard, mouse or even a proccessor.
Sofware is referred to data that makes up a program like windows, internet explorer, games, office applications, ect.
you can hold hardware (the cd) software is something that takes advantage of the features hardware provides.
There is also something called "firmware" which is "embedded software" embedded meaning that it is fixed in to place or built in to something.
For example ...
when you turn on your pc you hit the power button (hardware) the power goes in to the computer then flows in to something called a bios chip (also hardware) the power then causes the hardware to move electrons down given paths through something we call "logic gates" which are made up from arrays or transistors.
When this happens the hardware shows what its been told to by instructions written inside it (firmware - embedded) this is usually some white text showing you a list of all the hardware in your pc.
The firmware then has programmed in to it a startup procedure and starts to read information (software) from the hard drvie (hardware) which is a unit with spinning gold discs much like a cd but more complex.
What it reads is then presented to the user and the user can then use things like the keyboard and mouse (hardware) to give instructions to windows (software) which directs the hardware inside to do its stuff.
When we talk about programming languages we are talking about software, i use a language called "C Sharp" every day and use it to write small blocks of information in to files called source files.
Source files can then be taken in to a compiler (software) which turns the instructions from near english into binary instructions or what we call "executable" code.
The commonly known program like windows, word, paint, explorer, ect all software are considered executable because the computer can understand and use them to present data to the user.
other concepts involve "beta testing" which large comapnies use to test new products that have been developed by its programming staff.
google for windows vista beta 2 and microsoft will let you download a beta version of their new windows version.