FreeDOS just released version 1.2, a small upgrade in functionality, mostly to be compatible with modern hardware.
ArchLinux has an excellent wiki that is easily applied to other Linux distros. Here is their discussion on using FreeDOS to flash a system BIOS and, interestingly, creating bootable DOS images that are bigger than standard floppy disk sizes. It offers step-by-step instructions on how to create a bootable CD using your FreeDOS image.
There's no need to repeat the wiki article here. I'll add more info if I develop more sources.