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What possible reason could there be to install OL 5.7 since 5.9 is already available?
Anyway, you do not need the source distribution or any boot CD. The standard installation DVD (V36332-01) is bootable and contains the necessary installation packages.
If the download file has a .zip file name extension you need to unzip the ISO image before burning it to DVD. The download of version 5.9 is no longer zipped. In any case, before burning the ISO image file, make sure the file you download is not corrupted. You can check the "View Digest" page from the Oracle edelivery software download page and verify the checksum with the file you downloaded.
The checksum must match, otherwise the downloaded file cannot be used.
Under Microsoft Windows, see the following knowledgebase article:
Under Linux and Mac OSX:
$ openssl sha1 oracle_linux.iso
To burn the ISO image:
For Apple Mac OS X and older versions of MS Windows:
If you use any Type 2 virtualization software, such as VirtualBox, you do not need to burn any DVD and can use the ISO file directly.