7. Insert the CD for the OS you'll be installing. When the Windows installation automatically starts up on your usual PC, end the process. On the Virtual PC console, which will now show your new virtual machine, click Start. The virtual machine will start up and the boot sequence menu will appear.
8. The virtual machine will try (but fail) to boot. In the CD menu select ‘Use Physical Drive X:' (X being your drive letter), then select Reset in the Action menu to cause a reboot. The virtual machine will reboot from disc. Follow the onscreen instructions to install the OS on your virtual machine.
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