The reason I didn't originally answer with more detail is because I didn't know the complete answer for Windows. But since you're willing to adapt, I'll write it up here.
There are two ways to do this. One way, that many use, is to use the directory name in the URL with the PC as the name. The server PC has a default directory for websites (the one you get when you type "http://localhost" on the local machine, or the "http://computername" from another system, assuming the computer's name is "computername". So, if that directory were called "c:\www", and you put a website in "c:\www\mywebsite", then someone can get to it by entering "http://computername/mywebsite".
To do what you want, you can use the host file, along with Apache's virtual hosts, not with just the hosts file by itself. I wrote up some directions for doing this with Ubuntu, at AskUbuntu. The only difference for Windows would be the location, and possibly name, of the configuration file. It shouldn't be hard to search and find out where it is.
check out my directions on AskUbuntu, and if you have any questions, you can ask either here or there.