Hi Everyone,
Please disregard this earlier message. I finally figured it out. Just as an FYI for anyone else having problems unrooting...
Because I hadn't deregiestered the device before trying to return to factory settings the eight shut down method doesn't work. I had to turn off the Nook and then power back on while holding the "home" (the n) key. Then it gave me the option to clear the data and return to factory settings.
It worked!
I got the information on how to do this through this link at Nook Devs:
http://nookdevs.com/NookColor_UnRooting
Dawn