Graphic Design Help- I am applying for a Junior Graphic Design position. I am not the average student -cont-?

I am 33 yrs old (working toward my second BFA in graphic design) i am proficient with Macintosh computers and CS3. (however ive never actually worked with Dreamweaver, Flash, anything to do with animation.) I started a very good BFA program 4 yrs ago and had to drop out for family reasons. Am now back in program...repeated my Typography, Illustrator, and Photoshop courses and am now on Indesign (which ive worked with before so its a recap) and illustration (which im a painter and feel this is going to be a great course but easy as well) HERES the question LOL! I havent a clue what to include in a portfolio. OR FOR THAT matter how to creat one...are they all online now? (i love this field but im new to it have worked in adult probation and dabbled up until i went back to school) is creating a physical porfolio to put in the employers hands to dated? i know to include a dvd with all my files but do they need to be just the illustrator files? what do i include? logo's,letterheads, etc?