I have an ibook G4 running @ 800mhz. Just replaced a 40GB HD @ 4200rpm with a new 120GB HD @ 5400rpm. Now when I try to install the OS I go through the installer. When I get to 'Select Destination' my HD does not appear. So I open disk utility and select my HD. I go to partition. I name my partition OSX, format: Mac OS Extended (Journaled) & size: 111.79GB. Then click on partition. Once finished I exit disk utility.

Now on 'Select Destination' I see the HD but it has an exclamation mark (!) on it. When I select it I get a message "! You cannot install MAC OS X on this volume. You cannot start up your computer using this volume.

Can someone tell me what step I missed? Thanks.

See if this helps: Sysop.ca » “You cannot install Mac OS X on this volume. You cannot start your computer from this volume.”