We also need to create domain account and domain groups in domain controller.  So, logon to domain controller. Go to Start > Run > DSA.msc and follow below screen-shots.
AD Users and Computers
Give the details of account (i.e. SQLSVC)
 SQLSVC Account
Set the password after clicking next button. Make sure that "Password never expires" is checked and "User cannot change password" is checked.
SQLSVC Account Password
One account is created, lets add a Group and add SQLSVC into the group.
SQLSVC New Group
Give Group Name "SQL Admin Groups"
SQLSVC Group Name
Right click on  "SQL Admin Groups" properties and add "members"
SQLSVC New Group Members
Now you are done with Domain controller.
Now, let's mount ISO image to MyNode1 and MyNode2. To do this, go to Virtual server console.
CD_DVD
Click on CD/DVD and fill details as below
CD_DVD_Properties
Above has to be done on both the nodes. Once you do that, you can see SQL Installation CD mounted on MyNode1 and MyNode2.
Lets Start SQL setup now.
  1. Log off from MyNode2. This is required to avoid running into known bug.
  2. Log on to MyNode1.
  3. Move all the resource groups to MyNode1 using Cluster AdminMyNode1 Active Groups 
  4. Go to DVD drive and double click on setup.exe from Servers folder
  5. Accept EULA. Next.
  6. Click 'Install' and wait for SQL Server to configure components and setup the installation. Once the required components (.NET Framework 2.0, MS SQL Native Client and the SQL Server 2005 setup support files) have been installed click 'Next'
  7. Click 'next' when prompted with the screen 'Welcome to the Microsoft SQL Server Installation Wizard. The installation will then proceed through the 'System Configuration Check'- click 'next' to proceed.
  8. Enter Registration Information, click 'next'
  9. Components to Install- Select all components (SQL Server Database Services, Workstation components) , then click 'next'
     components to install 
  10. Since this is the first installation of a new database instance for SQL server, select 'Default Instance'.
  11. Provide Virtual Server Name (VirtualSQL)
     VirtualSQL
  12. Provide Virtual SQL Server IP Address (192.1.1.6) in Next screen and click on Add. Then Next   
  13. VirtualSQLIP
  14. Provide SQL Group in Next screen as shown below
     Cluster Group Selection
  15. Click Next on Below Screen
  16. Select Nodes
  17. Provide Administrator Password in next screen and click Next
  18. Provide SQL Service Account created earlier on domain controller(sqlsvc) SQLSVC Provide
  19. Provide Domain Group which we created earlier (SQL Admin Groups) SQLSVC Group Provide
  20. Authentication Mode. Choose Mixed Mode (Windows Authentication and SQL Server Authentication), provide sa password and click 'next'
  21. Keep the default settings (SQL Collations- Dictionary Order, case-insensitive, 1252 character set) and click next
  22. Error and Usage Report Settings. Leave defaults (none checked). Click 'next'
  23. Check installation Settings, click 'install'.
  24. During the install process you can always see what is happening on other node.
  25. Once the installation process is completed, click 'next'
  26. And finally... Finish.
Now we are done with the setup and we should see the resources in cluster admin under SQL Group.