As already mentioned I ran the latest available build [1] and followed the guidelines mentioned on [2]. Though everything worked out fine I realized that changed mouse settings in LiveCD-mode did not take effect (screenshot of area of interest attached).
I expect mouse settings to work even when running in LiveCD mode because the mouse speed is much to hight to be producteve. People with disabilities would probably locked out and thus be unable to install or use Xubuntu right from the start.
Unfortunately I cannot attach the /var/log/Xorg.0.log here since I can establish but not browse FTP connections with Gigolo. I think the problem is related with thunar somehow. Wenever I open that filebrowser it prevents me from acessing directories after a while. So I'm unable to browse to /var/log with Thunar for e.g. In case someone can provide me with imformation how to transfer files off Virtualbox to my system I will provide you with whatever you need.
[1]
Source: iso.qa.ubuntu.com/qatracker/info/4002
Xubuntu Desktop i386 / Xubuntu 10.04 LTS (20100419)
Direct download : http://cdimage.ubuntu.com/xubuntu/daily-live/20100419/lucid-desktop-i386.iso
MD5Sum : 9686959ea68ae9d5c008fc7f42406f1e
[2]
https://wiki.ubuntu.com/Xubuntu/Testing/TestingInfo/Short
Reassigning to the package with the control panel in it.