Need help - Scarf w/No. 20 Edging

I'm on a cruise ship in the middle of the Caribbean, with my Scarf with No. 20 Edging project. I photocopied the directions so I wouldn't need to bring the book. I finished the first border, and the instructions say to bind off the border, putting the last stitch on a holder. Then turn the work and pick up the slip stitches along the straight edge, returning the stitch from the holder as the last stitch. My question is this... does "pick up" mean JUST "pick up", or "pick up and knit". I did not cut the yarn at the end of the first border, so when I pick up the stitches, I'm starting at the opposite end.

That makes sense if I'm just 'picking up' stitches, because I'll end with the stitch that has the working yarn attached, and be ready to work the next row. But if I'm supposed to 'pick up and knit' (using a piece of working yarn and pulling it through the existing stitches), then I need to cut the yarn and start with a fresh piece. Since I didn't copy anything other than the pattern page, I can't refer to the appendix to see which they mean. If anyone can check the book and put me in the right direction, I'd be very appreciative.

Also, I'm wondering in either case whether I should work through both strands of the slip stitches, just the front, or what. If I'm only 'picking up', and not doing 'pick up and knit', I'm thinking that it might look best to just pick up the front strand of the slipped stitch (I'm picking up from the right side). Any suggestions? TIA.