I would first get the most recent "DirectX 9c Runtime" or "DirectX 9.0c Redistributable for Software Developers - Multilingual" from the Microsoft site and then install or update to a fresh DirectX 9c. Then as said before, get the most recent driver for your Asus video card from the manufacturer site and install that. Reboot betwen each install.

However even though the error message does not appear, that does not mean that everything is ok with your video card, you might just have to get a newer card. Does not have to be the most recent one, a few years old, used, for a few bucks would do.

edit: by the way did you try to add the -w3d to the command line? You do that in the small window that pops up when you choose Run Level in the WED.

cheers