I echo JanieH's comment.....and to think i thought my question would only leave to people shaking their heads and thinking .." Another newbie".
thank- you everyone your guidance has been so helpful!

Interesting. I put my top piece upside down as well but the long part comes down not up and I sew it from left top to bottom right. Does that make sense or am I looking at the picture wrong?

Some good answers here. Good jingles to remember are "Cut off the corner of the L" and "Don't sew into the crotch". Pilgrim and Linda R have an easy to understand method.

But I have always wondered why you need to lay the pieces so that they stick out beyond the L. I lay my pieces so that the edges are even. And I don't cut off my selvages! ! ! (Yikes!) If the selvages are just even with the edge of the second piece, they will be 99% gone after the seam is sewn and trimmed. (Well, maybe only 98%,) But that little corner of selvage won't hurt anyone, and just think of how many INCHES (maybe feet!) of your expensive fabric you would be saving on every binding you make.

Really glad to have read this thread. The picture was really helpful too. I've butchered some binding over the last few days.

pilgrim - If it's wrong that makes two of us. And, I use stick glue on mine now.