then I am prompted to make floppy disk, create an ISO, or load to USB drive.
There's an option missing there; at that point in the Boot Wizard, there are more options present and one of then should be "CD/DVD Rom". That's the option which lets you burn a bootable optical disk directly, and it's the one you want.
If I select ISO,
Well, that's your problem. An "ISO" is - other than the name of the International Standards Organization, whose ISO 9660 standard defined how optical disks are laid out - a common shorthand for a file format which represents an *optical disk image* in a file.
The content of the .ISO file is a direct binary image of the data on an optical disk, still in its original (ISO 9660) layout and set up to be burned back disk, by a specialized CD/DVD burning program like ImgBurn/Nero/etc, or can be mounted in a virtual machine to emulate a physical CD/DVD drive.
Basically, you should select ISO only if you don't want to burn the disk directly in the Boot Wizard.
If I select ISO, there is an option to add support for a bootable CD/DVD. I have tried this option both checked and unchecked.
That option doesn't have anything to do with the bootability of the disk you make in GBW; it's an advanced option in the disk you build, where Ghost can create an image onto CD/DVD directly and make it bootable (and puts a copy of itself on the disk it builds so it can restore the image).
On the disk that I have made there is just the ISO that I have created.
What you describe is that instead of burning a boot CD is that you instead got GBW to write an ISO image of the boot CD; and worse, you wrote that ISO file to the CD by using the CD as a mounted drive (using one of the many tools for Windows that uses the UDF filesystem format to make a CD or DVD appear to be a normal writeable disk, by burning the disk incrementally).
Since in this case the CD/DVD wasn't blank, but already formatted with the UDF filesystem, it's not going to be bootable no matter what. To make a CD bootable, the first sectors of the disk need special formatting, and this means either writing direct to the CD from the Boot Wizard using the "CD/DVD ROM" target instead of ISO (or USB, or Floppy) or writing an ISO and using a separate CD/DVD burning program to write the content of that ISO to a disk.