How to create bootable USB Pen Drive using HPDriveKeyBootUtility?

Hi,
I have dual boot OS C:Vista & D:WindowsXP. Want to format my Laptop(has USB boot option in BIOS) and reload WindowsXP.
I have unfortunately lost my XP CD, but have a copy of it in the HD folder. I want to have bootable USB Pen Drive, for which i formatted it(8GB size) using the HP Drive Key Boot Utility.
A) How to copy the XP folder using this Utility?
B) Which folder do i need to copy to?
C) Will using simple Copy/Paste option help?
D) If burn this folder to CD/DVD, how to make a CD/DVD bootable?

Thanks