Kali linux can’t mount cd-rom

mkdir /cdrom

Note : If you got problems making the directory /cdrom, disable the CD-rom player in BIOS or disconnect the cable

Mount the USB as if it is a CD-ROM:

mount -t vfat /dev/sdb1 /cdrom

Where sdb1 is your USB device.

You could carry on installation now

Source : ubuntu and debian

Another layman solution was :

when the Window shows CDROM couldn’t be mounted ,

  1. Unplug your USB from system and re insert it
  2. wait for mount/ detection (usb LED glow)
  3. Hit Continue