Yes. That is one of my major peeves. You'd be surprised though, at how many windows "administrators" who never use the proper term. Well maybe not. Personally, it annoys the hel out of me.
If the Windiots ever get to a command line, the command to get a listing is, of course, DIR. How they can reconcile the name of that command with the term, "folder" is beyond my comprehension. There is a fold command to wrap input lines to a specified length but it has nothing to do with so-called "folders". :)