PSSO in Pattern - Need Some Help Please

[auburnchick]

Hi y'all.

I feel like this is a stupid question, so please forgive me...

I'm making a cell phone cozy. I've CO 22 sts.

The first row has these instructions: P2, *S|1, K2, psso, P2; Rep from * to end of row.

Then, Row 2 says: K2. *P1, yrn, P1, K2; Rep from * to end of row.

There are two things are I don't understand.

First, won't the psso leave me a stitch short? I've never done one of these before, but from the videos I've seen, it looks like I'll lose a stitch.

Second, I'm not sure about the yrn directions. The instructions in the pattern define the abbreviation as yarn round needle.

Thanks for your help! Y'all are always so great!

Nathalie