HI DC,
Apologies for not replying earlier. I have returned, recharged in body and "spirit" from a few days in bonnie Scotland.

I will confine my reply to your second paragraph. Firstly, because I think we agree, re the ball in play, in your first paragraph, and secondly, I must admit I am not too sure what is going on, with the ball bouncing all over the place etc.

DC, my interpretation and understanding of note 2 in R20-7c, is that the penalty is applied to the BREACH of the rule, and must be added to the players score for that hole. The same applies for a ball sustituted when not permitted to under the rules and played, is now the ball in play. R15-2, and carries a 2SP, to be added to the players score for the hole.

So a player who subsequently played from a WP is penalised 2strokes for the breach, and the same applies to a ball incorrectly substituted and played.

The stroke played from the WP, and any penalties incurred solely in the playing of the original ball (if the second ball is ruled to count),is, however, cancelled. Note, it says "strokes" not breach, is disregarded. Regards, Ron.