Errata: Visual Latin, lesson 2

I keep getting this question:

I am trying to understand the Lesson 2A worksheet (pg 5).
I do not understand why all of the words are circled.  Are the nouns adjectives as well?

Here is my reply:

Looks like I may have made a mistake.  I’ll check into it. 

Meanwhile, this should help. This is what the answers should look like.   I have double checked to be sure the predicate nominatives are underlined and the predicate adjectives are circled.