This post is going to tell you how to make a new windows 7 installation,on a virtual pc.
The benefits of installing the windows 7 on a virtual drive is that you don’t mess with your current installation.

Note:-If you are currently using windows xp then you should back up all your data.
To install windows 7 on a virtual drive just follow these steps and chill out

-First of all go to google.com and search microsoft virtual pc
-Click on the first result and download the microsoft virtual pc from the microsoft site(no need to worry it should free of any malwares)
-Installing the virual pc-In the option page-select create new virtual pc

installing the windows virtual pc

-In virtual machine name and location-Name it as windows 7(for our convinience)

Name it as windows 7

-In the operating system-Select other (As windows 7 is not yet installed)

Enter other

-In memory options select a minimum of 1Gigabytes(you can select more if you have RAM  more than 1Gigs but not less than 1Gigabytes)

make it at least 1Gigs

-In Virtual hard disk options-select a new virtual hard disk and make it atleast 20Gigabytes

make it around 20Gigs

Now on  the next window click start

click on start

-Now the virtual pc will open a command prompt
-In this windows click on the CD and navigate to where ever you have your ISO image on your pc

click on CD and navigate to your iso image location

-Now the installation should begin as if it were a real bootable disc
-Select the customs settings from the installation and keep on filling the options according to you.

If you have any doubts please post them in comments and if you want to make complete windows installation then click on the link.