If I remember well, error 7 is a problem with the harddisk not being recognised correctly.
The popping noise could come from a capacitor that blews up. When they become older, they dry out and go bad. The xbox contains 1 goldcap which often goes defective. It's purpose is to keep the clock running if you switch the unit off and remove power from it. The xbox works fine without it, but the chemicals that are released from the capacitor are corrosive and can cause short circuits.
You might open the unit and check the motherboard for suspected issues. A blown capacitor is most of the time visible. The goldcap is on the left front of the motherboard. (Opposite site of the power supply and close to the front of the xbox.)
If you have absolutely no notice of electronics and soldering, you might ask someone else to check it out for you. You will need a set of torcq screwdrivers to open the xbox. Don't try to use something else. You will damage the screw heads so that they even might not come out afterwards with the correct tools.
Also make sure to remove the hidden screws as well.
And, don't forget to unplug the mains before you work on the inners of the xbox. Also be carefull with the supply. It might keep some high voltage charges, even after the xbox is switched off. Those high voltage capacitors can bite you hard if you don't expect it.
Another issue that happens often is the supply mains connector that becomes desoldered. This can cause sparking and unstability. Maybe, that sparking killed the harddisk of the xbox.
If you connect another harddisk from an old pc to the unit, it should give you an error 5 instead of 7. If that's the case, your xbox harddisk is toast.
regards.