Kevin, I've started writing this while awaiting your evidently-marked-up JPEG image which you'd saved as a PNG. I had purposely deleted some of the "tedious" information in my earlier post today (which I'm glad to see in your last sketch that you'd heeded!) but will have to include it here now. Okay, the image just came in. Congrats on using Netscape! Anyway, here goes (for you and everyone else):
PNG is ideal for "sketches" and other "unnatural" images both because it's a "lossless" format (maintains full clarity/integrity) and it can compress them very well due to their simple makeup. It's not very good in terms of resultant file size for photographs, which usually contain information which does not lend itself well to the compression system PNG uses. PNG is too literal for "comfortable" (as in sharing with dial-up friends) file sizes when the images are photographic in nature. "Sketches" compress very well under PNG but photos do not.
JPEG uses a complex method for combining/throwing-out information. This leads to "comfortable" image sizes for complex things such as photographs (which can usually "stand" the resultant alteration of their makeup). When dealing with more simple images such as "sketches", JPEG falls short in both clarity and file size when compared to PNG because JPEG effectively makes the "simple" images "complex" in order to compress them in the way it does.
Whenever you "work with" a JPEG image and save it again as a JPEG the amount of image degradation escalates. Doing what you did with the JPEG and saving it as a PNG likely didn't cause any degradation but the file size increased considerably (to nearly 900 KB, greater than 3× the original).
I guess what I'm trying to say is that a good rule of thumb is "original sketch (or screenshot of non-photographic material!) = PNG", "photograph = JPEG", and/but "once a JPEG, (most) always a JPEG".
Saving a PNG as a JPEG will degrade it (usually not too noticeable in a photograph but very much so in a "drawing" or typical screenshot) and the JPEG will likely be a larger file as well.
Saving a JPEG as a PNG will not degrade it but the file will be very much larger. If the JPEG file was a sketch, the damage will already be done and it's no longer such a "simple" image to compress.
I love Kenny and his enthusiasm, but I often get lost in his posts. I hope this one isn't that way for you all! It's vastly simplified but makes perfect sense to me
Thanks for "listening".
This is intended as general help and most certainly not as any form of chastisement. I'm always available for private questions, though if they're "Windows"-specific I may not be your best bet.