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You don't add ISO/BIN/IMG file extensions, because that only allows a file to be read as-is.

 

What you do is enable the virtual-drive mount system, so that the ISO/BIN/IMG files are mounted and the VIDEO_TS folders can actually be read and processed for the movie that is contained within.

 

I had some issues with Virtual Clone Drive (from SlySoft) before, and not sure if they fixed that yet, so if you prefer that one and run into issues as well, try the Daemon Tools Lite one.