buscon,
I’m fairly familiar with PDF, but definitely not an expert.
If you open “final.PDF” and do a copy/paste into MS Word, you have a page of text that can be edited, spell-checked, searched, saved as a Word document or saved as HTML.
So, it behaves like an OCR scan.
My conversions to EPUB and MOBI produced the same wide margins and tiny text that you mentioned. However, after converting to EPUB format, I opened the EPUB container and it has PNG files, which is an image file type.
So, after conversion it behaves like an IMAGE!
It has me stumped, which is easy to do.