Also effects Ubuntu 12.04 LTS (32 bit) on VMPlayer version 5.0.0.
I can confirm karanganesha04's workaround worked for me.

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https://bugs.launchpad.net/bugs/969154

Title:
  Unable to set 1920x1080 resolution in Ubuntu 12.04 Beta2 as a VMWare
  Workstation 8 guest

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