I have been trying this for a while but no luck. I installed ubuntu-11.10-desktop-i386 twice. Also installed guest additions. However I always get maximum screen resolution as, 1024 x 768.
Do I need to change anything in /etc/X11/xorg.conf file (example)? Presently there is no such file in that path. Also, would you be able to advise me what the contents of the file for 11.10 version should be?