Question for Mac users familiar with Parallels

I've just installed Parallels on my Macbook and I've downloaded Windows XP from my educational institution's FTP site. Before you ask, I've been assured that it is 100% legal for institutions [i.e. universities) to provide this kind of software for their members. The only problem is that the software I've downloaded is a .EXE file which is not accepted by Parallels. Parallels only accepts Real CD/DVDs or ISO image files.
Therefore, I'd like to know how to convert this .EXE file to a format that Parallels will accept. Keep in mind that I do not have a CD burner on this Macbook so burning the exe to a Real CD is out of the question. I guess converting it to an ISO file is the only way.

EXE is an executable format; we can't help you with it if we don't know what kind of EXE it is. Is it called setup.exe? It's probably meant to upgrade an old copy of Windows. Even if we have the name, it's still probably too vague to know what to do with it. Contact your sysadmin or whoever and ask them what you're supposed to do it. If the instructions rely on you already having Windows installed, there's not much you can do. If your institution gives you a CD-key for Windows XP, I think you can download Windows XP from somewhere else and use that CD-key; you should be protected legally if you upload nothing. IANAL and I have my own retail copy of Windows.

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