Ok, I have litterally wreckedmy brain trying to do this process with no success...
Yes, it's a bit a of a challenge but it's a tried and true process on Windows, Linux and Mac platforms. This thread is intended as a guideline and link reference to work that has been completed by others but will definitely provide a free alternative way for Cruz Tablet owners, and other device owners, to access a good portion of the Android Market including protected apps.
First, you have to make sure that you follow the documented steps, provided by the SDK and IDE providers for your platform, to correctly install the Java SE Software Development Kit (SDK), Android SDK, Eclispe Integrated Development Environment (IDE) and the Android Developer Tools (ADT) plugin for Eclipse. If this is not done correctly you will not be able to create an Android Virtual Device (AVD) in either Eclipse or the Android SDK.
Once you have correctly installed the above mentioned tools then you can create an AVD in either the Eclipse IDE or the Android SDK. This will create a folder on your hard drive that contains the AVD. The folder will have the same name you provided when creating the AVD. This is where you place the extracted system.img file and is the point where most of us, including myself, had difficulty.