As I have said, I cannot get it to boot from any media that has the ability to reformat!

I finally have it all cleaned off, and it's a decently speedy machine. It had just a stock 7.6.1 System Folder plus Apple Extras, and Netscape Communicator 4.

I found out what had created all the folders, too. They were really desktop printers. After I got them cleaned, next (with extensions) reboot, it started creating them again! I promptly rebooted with extensions disabled, and used Extensions Manager to disable desktop printer. Upon reboot, they didn't auto-create. After some diagnostics, it appears that the Color StyleWriter Pro 2500 driver was causing it. I removed that driver, and all is well now, with Desktop Printing turned back on.

I also confirmed that the floppy drive is, indeed, dead.

The fact that I'm using a PowerCD means I couldn't use it once in the OS, so I transferred the PowerCD drivers over via LocalTalk, and it mounts discs just fine. Why it would only boot from an "CD-ROM Setup Disc", but not a "System 7.5.3" disc is beyond me.

I am presently doing an install of 7.5.3.