after completing the procedure listed in the above link, i installed an application from one of the repos. i was not given the option to choose between installing in the flash or installing on the mmc: the apps was simply installed in the flash.

This tells me you are still booting from the flash.
If you boot from the MMC, like Milhouse said, you would not be able to get access to the flash. I think it is a good idea to start from beginning, again, yup. BTW, this is not the most challenging task, try to make a Blue tooth GPS or tether with a cellphone is even more fun. Be persistent, you will get it.

bun