If you have no clue as to what Time Machine is or does, it means you have not set it up (requires a physically separate internal or external HD), therefore that advice is not applicable to your situation.
What the seller sold you with the computer were illegal or trial versions of the software you mentioned, which you had no right to be using in the first place, as you did not buy a brand new machine.
The update detected that it was not a legit copy and disabled it.
That you are being asked to buy CS5 is very bizarre, as CS5 has not been sold by Adobe for well over a year. It sounds like someone is trying to get you to buy another illegitimate piece of software. 