Originally Posted by Hitch
Neither is right. [...]
You might be making a Smashwords mistake here, Hitch: assuming that just because the text isn't presented the way you want, that it's not presented as the author wanted. (Sorry, I couldn't resist.
More seriously, yes I agree that the even second example doesn't look right, but since it was placed under a heading of "Instead of looking like This" I assumed that must have been what they wanted it to look like ... obviously such assumptions are not entirely safe.