I thought, your problem were you not being able to burn CDs at all?
(My CD got burned with Windows XP without Nero.
Since I dont have the DVD-player at hand now and this is for someone else can you please tell me If this can be done the way Ive mentioned above.)
No idea. Looks like something like Photo CD or similar. You might read the Nero help files in order to learn about the capabilities of Nero. There are also tutorials available on Nero.com website.
Does this Daemon Tool or Alcohol do it that way ?
No, these have totally different purpose.