No I don't use Alcohol120%, and I have used Nero on Windows.
However, the example you gave about accessing a specific folder on a CD is not defined as making a virtual CD.
A virtual CD is using an image file of a CD as though you actually have the CD in a CD drive on your computer.
And if you did want to use a virtual CD from an ISO, many many people have shown you the way, but you gave up... Too bad.
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