Good news clinton!
All of your previous efforts where a waste of time.
The idea behind mkbootdisk is just making a boot floppy or cdrom which will get you back into your system.
Since you want some minimal linux functions from the cdrom, there are a couple of ways to proceed.
1 ) get a live cd like Knoppix
2 ) get the Fedora rescue cd which has some basic linux functions like e2fsck and fdisk ....
3 ) Use mkcdrec
to make a small livecd based on your kernel and busybox.
I just stumbled onto #3 while checking into options for you.
This is one sweet package and I think you aught to check it out.
This program has several options, #1 is to make a basic livecd using your kernel and other options include making system backups and put them onto cdrom.
I recommend downloading the gz package to someplace like /home and unpacking it there. That makes a folder called /home/mkcdrec.
Change into that directory and run the command: make test
to see what kind of programs are needed for this to proceed.
Note: I used synaptic to install nasm and mt-st .
Note: You need to check in the config.sh
for any changes which relate to your system.
When the make test doesn't pop any errors, you are ready to go.
Just run the program with the command: make
For a basic cdrom, select #1
The iso image is saved in your tmp folder
Burn the image to cdrom with the command: cdrecord -v dev=0,0,0 -data /tmp/CDrec.iso
Reboot and check it out.