Windows 7: Dual-Boot W7 & Server 2008

Hello. I apologize if I am not on the correct Forum.
I have a Dell Inspiron 1545 laptop with Windows 7 Home Premium installed. I would like to add Server 2008 to the machine and dual boot. I want Windows 7 to remain my main OS.

Diskpart "list volume" shows I have a DVD-ROM drive,
C drive with OS &
an E drive NTFS 146 GB.

Can I create a VHD file on the E drive & boot my Server 2008 CD?
Ex.:
cre vdisk file=E:\Sr2008.vhd maximm=149504 type=expandable

attach vdisk

Also this is a new machine. I do not have any files, just the OS.
I have a Wins 7 Home Prem 64-bit CD, & a Drivers & Utilities CD in case of problems.

Thanks for any help you can give a person that is very new to dual boot and VHD.
~~C.