You probably got a false negative. M. luteus should be oxidase +. To determine M. luteus do a MSA plate which should not produce acid and barley grow.
The volume name, or label, is a name you can assign to each drive on your system. The conversion (and some other utilities) will ask you for it as a way to confirm that you're really asking them to operate on the drive you think you are. We'll look at how to see, and set, the volume name on your drives.
In Microsoft Windows Server 2008 and onward the term volume is used as a superset that includes partition as well. It isn't uncommon to see a volume packed into a single file. Examples include ISO9660 disc images (CD/DVD images, commonly called ISOs), and installer volumes for Mac OS X (DMGs).