Very good questions, Richard.
My understanding of the Breathing of the Universe, is what I like to call "Universal CPR".
So you are breathing in energy from the Universe into all parts of skin and then from there, it enters the body and GATHERS in the lower dantien. So, basically you are right, but it is not a typo. First it enters in to every pore and cell, it is now inside the body and then once inside, it comes from there (just inside) to gather in the lower dantien.
As for the second part, it is really up to you. And this applies, to a large extent, to the first part also. This is not rocket science. So much depends on your own unique way of doing it, or visualizing it. I think the best way is to feel it. The visualization is to assist the energy exchange and transformation.
The smoke can just leave from all parts of the body. Once you have "exploded" or transformed the energy blockage, it is just like air. It leaves through every pore. It can leave through ANY pore. SOmetimes, for me, the best way is through my feet. Especially the feet, because I often ignore those pores, in terms of breathing. Or you can just visualize it leaving out of all parts of your body.
I hope this helps. I am sure that Shawn and others will chime in with even more and maybe even more helpful hints.