Disk utility>Macintosh HD>NEW IMAGE = Resource busy???? ***

I just did a first time fresh install of TIGER. I updated everything from the web(10.4.1), and then installed all my apps!! I want to make an IMAGE so if something screws up i can just restore and go back to where it is NOW! Sounds easy enough right? NOPE, i cant get it to do the image, i go to the:
Disk Utility>Macintosh HD >NEW IMAGE
asks me for name of file and where and set to compress, and then i get "Resource busy" Thats it i cant get i to work i have tried differnt locations, different names of the file, still same results. Even if i play with the compression or go to read only or whatever i get same results? If i do a restart and then try same thing? any ideas? This is pretty frustrating.
Oh just another thing is kinda funny, whenever i restart or shutdown then power back on my "Show View Options" i had set to aply to all windows arrange by Name, doesnt stay, so anything saved or added to any folders or windows no longer auto arranges, only does this if i restart or shutdown and start up again? any ideas? Should i have stayed with my Panther?

resource is busy because you are currently using the drive. Make an image of the drive using another computer treating that computer as a target disk.

so hook up to another mac from firewire u mean? this the only mac i have and have only had it 2wks. but so if i took this and booted it as a firewire drive and hooked into my friends mac he could make an image that way?
what about booting off the TIGER DVD and running the UTILITY there adn try image from there? i tried it but when i hit new Image its starts asking questions i dont knwo answers to so i didnt do anything.