Initial Setup once the VM or Physical device is running

There is currently a few issues with the initial-setup. It currently only allows you to create a standard user. Create a user and ensure to set the "Administrator" checkbox which will configure sudo access.

Once the initial setup dialog has completed you can login as the new user and sudo to root. If you wish to at this time you can set a root password, otherwise the root account remains locked (this is fine).

This issue is currently been tracked in RHBZ 1578930.