Question 1: Is the Rocket Launcer [Joomla_RT_Refraction_j15] a totally seperate install ALL ALONE into any directory of Joomla 1.5 on my site?
If you've used your hosts installer you cannot use the Rocket Launcher.
You can not use the Rocket Launcher in an existing install of Joomla. If you already have an existing install of Joomla, you will need to apply the template file to it.
There are two types if installs, using the RL for a CLEAN install to a directory where NO current install exists.
Applying the template (and extensions where applicable) to an existing Joomla install, either an exiting site or one you just set up with your host's installer.
Question 2: If you need to install the RefractionTemplate [ rt_refraction_j15 ] first, then what comes first here, the chicken or the egg? Do I then copy the Rocket launcher files INTO the same directory as the rt_refraction_j15 was put into?
Again, if you've installed Joomla with your hosts installer, don't use the RL, use the template file and the extensions.
Note, this will apply the template to the install, but it will not duplicate the demo content.
Don't confuse the template file (and extensions) with the Rocket Launcher.
Question 3: I might be messing up with the database stuff. I am choosing MySQLDatabase to enter the DBase information and bascially somewhat following the same sequence or pattern of how a normal joomla database that is pre-created in Fantastico by default. Should I be using the PHPMyAdmin area to create my DB only?
Before you start, you’ll need to create a database on your server.
Yes, you should be creating a new DB in phpMyAdmin for each installation you are creating.
Don't keep trying to reinstall the RL several times over in separate directories using the same DB.
So from here....
Upload the zipped RL package to the server, extract it to the directory you want to install it from, e.g., public_html, or joomla1, joomla2, joomla3, etc.
Remember if you keep extracting to the root, you're going to keep overwriting files.
Create a new DB for each install you want to perform.
*** Running the install with the same DB installs all your sites in the same DB.
Before you go any further, I delete anything you have now, the DB, the directories, etc.
If you've been installing over and over without creating a new DB and have been copying files instead of extracting / uploading files to clean directories, things are bound to be corrupt.