The sxs.dll (valid windows system file) is having an issue with some 3rd party driver... I do remember Asus posted an alert that a doggy Realtek HD audio driver could cause this issue on W7 machines but as far as I know the only work around was to remove the realtek driver then use the windows default instead.
The mouse issue sounds like a driver conflict as well but prob not related to this error... I suggest you replace it with a moden mouse (wifi or cord)