Virtual hard disk can't be mounted ...

Hello everybody,
recently I've installed Windows 8,1 Pro version on my laptop and today I'm trying to install Microsoft Office 2007 Enterprise.
I've have it on CD but when I'm trying to run it there's a message that says :

"Virtual hard disk files can't be mounted from image files, or from removable media that isn't formatted with NTFS file system"

Can anyone tell me where is the problem, and what should I do?

I apologize if there is a thread with this question (I've found one but there was no answer).

Yes, it is.
But I don't know the difference between regular and ISO file..

Sorry, but there was no option to extract it :/
You have photos here :
http://prntscr.com/8jmrsm
When I tried to compres : http://prntscr.com/8jms4r
Any idea what now? :/

Oh, it works!!
Thank you very much for your help and time! :)

Chris S,
I have the same problem as the person in this thread. You can review my post at the title listed above. I am really frustrated with this problem and cannot get my computer working correctly. I am not an expert, however, I attempted to follow your instructions as indicated to Member Romana Papec. I really hope that I can gain the results she had with your help.
To start with, I opened File Explorer and I could not figure out how to create a folder, I actually gave up. You suggested to download 7 zip for extracting iso files. I googled this program, and I was overwhelmed with deciding what to download. I did not want to make a bad decision on what to do and wind up with computer problems. I do not have an external drive either. If you could please take the time to guide me more explicitly, I would be pleased. Please review my post at the above title. Thank you kindly.