Try messing around with the wooden sword. I was able to enhance and enchant it. It can be enhanced with firewood and can be enchanted. I have one with legendary damage of 174 with absorb 30 points health and 37 points stamina. I killed three Stormcloaks, some bandits and bears with the "Legendary Wooden Sword of Doom"

Bandit: "Hey guys, look at this idiot with a child's wooden sw..."
*Wooden sword decapitation finisher* *bandit head rolls down hill into river*
Dragonborn: "Hmm, these children toys really have improved since I was I kid"