I have just been getting into this whole question of System State components. The boot files consist of the boot directory (normally C:\Windows) and other things like the MBR (Master Boot Record).
If you just do a backup of your boot disk (normally C

it won't pick up these other things, like the MBR.
I would suggest that you periodically (say weekly) do a Normal (not Incremental) backup of your boot disk excluding C:\Windows, C:\gobackio.bin (if you have GoBack), the Windows Pagefile - replacing its previous backup file. In the Exclude Files tab of the Backup utility you should add the Windows Pagefile if it is not already there.
Immediately after that do a separate Normal (not Incremental) backup of System State (C:\Windows is included in it) plus C:\gobackio.bin - replacing its previous backup file.
In the interim (say daily) you can Incremental (not Normal) backups of C: excluding the above files - appending it to its previous backup file.
Immediately after each such interim backup you should do a separate Normal (not Incremental) backup of System State as above. The reason for this is that it will do a Normal backup of System State and C:\gobackio.bin even if you specify Incremental, and there is no point in appending it to its previous backup file.
This way if your system crashes the most you can lose is one day's work.
There are various problems with ASR backup/restore. First, it tries to do a full (i.e. Normal) backup everything on the specified drive not just System State data. Second, ASR restore does not work on my system - it does not recognise the ASR diskette. Third, as Linney and others have said it can put different things on your computer out of sync.
I would suggest that if you have a system crash you reinstall WinXPP from its CD and restore from the above backups.
HTH
Gunny