Chosen Solution
I received this iMac in its current broken state. Pressing the power button, the white power light turns on, a CD in the optical drive spins, and the fans whir as well (I can’t hear the hard disk, but it’s probably just masked by all the other noises). The display shows nothing. Trying to eject the cd by holding the mouse down doesn’t work and neither does starting the computer in target disk mode. Reseting the SMC (removing power cord, holding power for five seconds, plugging cord back in and powering up) doesn’t do anything. Update My model (Early 2006) doesn’t have diagnostic lights present in many other versions. Thank you very much, -Peter
Here is a link to a previous question that may help you. Good luck. Ralph LED power supply and logic board tests
in fact this model does have diagnostic leds, 3 in total, its masked by black duct tape near the right speaker ;)