Error in repository Initialization

I am using opensuse 11.1. When I try to install a software, I am getting warning message :
There was an error in repository initialization ‘repo-update’:[repo-update|http://download.opensuse.org/update/11.1/] Repository is not cached.

If I ignore this warning and try to install the software, it gives a error
Please insert disk opensuse 11.1-1. I press retry button. Then the install software window automaticall closes down. I am not able to understand, what is this repository and what should I do to install a rpm.
bc-1.06-838.76.i586.rpm

Post the result of this from a terminal

zypper lr -d

I dont understand what u mean. Please help me install the rpm bc-1.06-838.76.i586.rpm.