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Yeh, give both PC's a name in Sytem prop's. Add each local IP, or even better the entire local range to your firewall exceptions, make sure both PC's are joined to the same domain.
Then you can use either network places wizard to local the shared docs folders, or you can manually assign permissions to each folder you want using right click shared/security. Or you can goto any explorer windows and type the PC name e.g \\mypc\c$ where mypc denotes the PC name.
Failing that google (it's your friend) "home networking" or similar.