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I'll admit it took me a while to understand locations and how they work. I guess it would he more accurate to say learn how to use them. But know I really like locations and think that locations is a better system for ebooks than page numbers.
So my advice is don't try to learn how they work just use them as if they where page numbers.
First of to find determine how far into a book you are just use the percentage indicator.
To give somebody a page number then use this method.
A page number list something like 504-592 just use the first number '504'.
The reason I like locations is because they are dead on accurate regardless of what setting or device you are using.
For instance I read a lot of personal material on my kindle and BlackBerry so wispresync does not work on my ebooks. (since wispresync only works on amazon purchased ebooks). With locations I can easily keep the books I'm reading synced by just jumping to the correct location.
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