I did end up joining ravelry ~ what a great site! My username there is Dragonfly34. I did post my question there and got a lot of responses but it turned into a discussion and I got a little confused reading everyone's comments.
Basically this pattern is working in the round until the bag is 14 1/2 inches long, and then you change to a different size needle and work flat. Where I'm stumped is in the last part of the working in the round section before transitioning to the collar. Mostly because it's going from 100 stitches to 75 stitches and involves binding off a couple of stitches in the middle....kind of weird IMO.
Here's what the pattern says......
Remove marker; (k2, p2) 3 times, bo 2sts, p1, (k2, p2) around, turn, (k2, p2tog) across 75 sts. You will now be working in rows to form collar. Change to #10 needles.
Row 1: (P2, k1) across, turn each row.
Row 2: (K2, p1) across.
Im confused because I have 100 stitches on the needles so the (k2, p2tog) across 75 stitches is confusing me. Also, if Im reading the pattern correctly, after 12 stitches Im supposed to bind off 2 stitches, but then continue to knit in the round
..but how will I know where the row ends if Ive removed the marker? One of the comments I got on ravelry was that I'd know where the row ends every time I reached the stitches that were bound off, but I didn't understand that because didn't interpret the pattern that way.
I'm going to try and follow the pattern as best I can and hope for the best, but any insight you might have would be appreciated. This is when I really miss my 5th grade teacher....she's the one who taught me (and our entire 5th grade class to knit). I also used to work with someone who was an expert knitter and whenever I'd get stumped on something I'd take it to her, and she'd show me what I did wrong or how to fix it.