Win32 Disk Imager is a free tool for Windows to write an IMG file to removable device and backup your removable device to a raw image file.

Couldn’t Mount File, The disk image isn’t initialized Press Win+X and choose the Disk Management option. Choose the Action tab. Select the Attach VHD option.

Honestly I was surprised at how difficult that was to upgrade a Win 7 Home system with an IMG file purchased through my University. I don't know what they expect the average populous to do ...