Figured it out... If anyone else was having problems with this just follow along.
HOW TO: Install Ubuntu on VMWare Workstation v5.5.0 1) Download Ubuntu .iso file from the right location
2) Extract all files from the .iso
3) Burn to cd
4) Download
DAEMON Tools Utility install...
5) Place cd in drive, mount .iso file from 1) using the DAEMON Tools Utility above.
6) Run your Virtual Machine using VMware Workstation 5.5.0
7) Continue installation of Ubuntu
I hope this helps someone

Took me quite some time to finaly figure that out. :mad: