The "Bootable" legacy ISO you've used is in fact not bootable, it relies on CDROM emulation provided by BIOS. VMs don't usually do this sort of emulation. If you set the guest OS to something like ...

Navigate to kali.org to download the ISO image of Kali Linux. Check and select the correct architecture, 32-bit or 64-bit. Each image provides the option to choose a graphical user interface (such as ...