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There are programs to convert BAT files to com files (maybe EXE also). I've seen them a long time ago but can't remember anything about them. Try a 'Bat to com' or 'bat to exe' search.
Summary: An iso image is usually an image of a CD or DVD. They often contain exe files, e.g. in the case of a software install CD. You can burn the image to CD (or DVD) and all the files will appear on the med...