http://windows.microsoft.com/en-us/windows7/install-and-use-windows-xp-mode-in-windows-7

1. Verify you're running Windows 7 Professional, Enterprise, or Ultimate
   • To find out which edition of Windows 7 you're running:
     • Start → right-click Computer → click Properties
2. Enable hardware-assisted virtualization, if necessary
   • To check whether your computer's CPU is capable of HAV, download and run the Hardware-Assisted Virtualization Detection Tool:
     • http://www.microsoft.com/en-us/download/details.aspx?id=592
   • If you receive the message “This computer is configured with hardware-assisted virtualization”, you can run Windows Virtual PC and Windows XP Mode.
   • If you receive the error message “There is no hardware-assisted virtualization support in the system”, your computer's CPU doesn't support hardware-assisted virtualization. You can still use Windows XP Mode by installing an update to Windows 7.
   • Be aware that XP Mode will run much better if hardware-assisted virtualization can be enabled.
     • http://windows.microsoft.com/en-us/windows7/why-am-i-receiving-errors-about-hav
   • If you receive an error message saying “Hardware-assisted virtualization is disabled”, this means your computer supports hardware-assisted virtualization but you need to change settings in your computer's BIOS to enable hardware-assisted virtualization.
     • Procedures to turn on virtualization settings in your computer's BIOS vary depending on the BIOS manufacturer. Check the information that came with your computer or go to the computer manufacturer's website.

XP Virtual Machine: http://www.microsoft.com/en-us/download/details.aspx?id=8002

Windows Virtual PC: http://www.microsoft.com/en-us/download/details.aspx?id=3702

Execute the downloaded files.

• Start → All Programs → Windows Virtual PC → Windows XP Mode

• Shutdown the Virtual Machine
• Click Start → All Programs → Windows Virtual PC → Windows Virtual PC
• On the VM you want to configure, Right-click → Edit