Quite a bit of great information to be had here, and I appreciate all the help folks!

I do have one more silly beginner question though:
When I've worked on crafting before, I notice the item itself seems to glow and change colors. I've seen it white, and red I think, and I know I've seen it purple with a dark core (looks rather ominous :P ) I was just curious what this actually was and if it means anything. I'm sure the tutorial told me and I just missed it when I was reading it (there is quite a lot to take in for the crafting world)

Thanks again everyone!