There are two selvedge edges. If you are cutting WOF, then you match A and B. The instructions have you first cut a piece of fabric that will be an easy size to handle (11" WOF), and from that you cut 4 strips that are 2-1/2 inches wide.
So, I think you have done it correctly.
Your husband is wrong. Fabric comes from the manufacturer with a selvedge edge on each side. This is to prevent fabric from raveling (and also provides an area for manufacturer information, if provided).
Usually the pattern assumes you will be cutting strips WOF (folded selvedge to selvedge) and will tell you specifically to cut LOF only if that is necessary. Borders, for example, are often cut first LOF in order to keep them in one solid piece.
Even if you have cut some of the fabric in the wrong direction first, you may still have enough fabric. It all depends on the specific pieces you need.
Last edited by Prism99; 03-05-2013 at 09:01 AM.