Installing the campus.iso media for Windows 7 available at software.wisc.edu as of August 2016 can result in windows failing to update the operating system with error message 8007000E windows update failed.
When building a Windows 7 computer from campus .iso media, upon running first windows update, windows update fails with error 8007000E. The error condition is because of the older version of windows OS media prior to October 2014. Per Microsoft KB94782, Microsoft offers a download that will fix the error. Microsoft states: "This tool is being offered because an inconsistency was found in the Windows servicing store which may prevent the successful installation of future updates, service packs, and software. This tool checks your computer for such inconsistencies and tries to resolve issues if found."
Locate the KB and Tool by going to www.microsoft.com and search on KB947821