UPDATE:

Okay, 

Got my Mac working! 

I had suspected that I had a SCSI issue as two drives were not seen by system 7 HD setup tool or 7.5.3 setup tools. 

A member on this board, MJ313 sold me a vintage but known working HD w/ system 7 on it.  I installed that and it booted right up. (thank you MJ313)!

So, I now have a near fully functional Mac Classic II (I say nearly because I no longer have sound after my re-cap).  --so I will be looking into that next, but that should be easy I assume.  Obviously I put one of my caps in a bit sloppy.

Okay, 

so the issue as to why I couldn't get my computer to recognize the HD was because I had a bad HD.  The original apple HD went south.  The 10gig HD I purchased from Maccaps for some reason would not boot.  Not saying it's Maccaps, but that HD would not be recognized by my machine, I couldn't re-format it either using two versions of system HD setup tools.  I tried every ID and still no luck.  So i'll work w/ that HD w/ a modern computer and see if I can't get it formatted and running (but thats for later).  For now my Mac Classic II runs great and has had the motherboard and analog board re-capped.  Should be good for a long time.  I've also cleaned my case, keyboard and mouse.  There is a small amount of yellowing, but I kind of like it that way.  

Thanks to everyone for all of your help and private messages w/ tips and tricks! 

okay, going to go look for what could be causing my lack of sound.