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A Bootable Pendrive (Live USB drive) can be created using an opensource utility called UNetbootin. It is just 3.8 MB standalone utility available for both windows and Linux.

UNetbootin provides a GUI to create Live USB drives from ISO files.To create a Live USB using UNetbootin, download an ISO file(of Linux Live CD), select it under UNetbootin's "diskimage" option, and specify your target USB disk under "Drive:".After pressing OK, wait as the ISO is extracted to your USB drive; once done, you will have a bootable Linux USB drive.Restart your computer and select boot device as USB device.

If you don't have the ISO files instead of "Diskimage" option select the distribution and version from the first option. This will directly download the ISO files from internet.

Requirements

512 MB or larger one depending on the size of the ISO file formatted  as FAT32.

Some older BIOS software does not support USB boot device. Update your BIOS software.

Downloads

Home Page [http://unetbootin.sourceforge.net]

Download Windows version

Download Linux version

More information is available at www.pendrivelinux.com