By the sounds of it, you have hydraulic locked you car, which led to some serious internal damage. Hydraulic lock is when water has entered your combustion chamber, and created excessive pressure because water does not combust like air and fuel. So with all that back pressure something had to give. A compression test is checking how much compression there is in the combustion chamber and the piston when it is at the bottom of its stroke.
Most engines should have 140 to 160 lbs. of cranking compression with no more than 10% difference between any of the cylinders.

Low compression in one cylinder usually indicates a bad exhaust valve. Low compression in two adjacent cylinders typically means you have a bad head gasket. Low compression in all cylinders would tell you the rings and cylinders are worn and the engine needs to be overhauled. Picture a cylinder and its combustion chamber with the piston at the bottom of its stroke containing 1000 cc of air (900 cc in the cylinder plus 100 cc in the combustion chamber). When the piston has moved up to the top of its stroke inside the cylinder, and the remaining volume inside the head or combustion chamber has been reduced to 100 cc, then the compression ratio would be proportionally described as 1000:100, or with fractional reduction, a 10:1 compression ratio.

Alot of dudes will burn you for your thread. Just by the way you wrote it illustrates an image of a kid who doesnt know squat. What those guys fail to realise is that we all started somewhere. And to be honest, there are alot of jerks on Ozhonda, but admist all the trash talking and e-thuggery, you do find some useful information.

Use wikipedia, e-how and howstuffworks for more info.