@Curtis,
The problem probably lies with your "copy-pasting" into the Lesson question's WYSIWYG editor. Do you have the same problem if you try to copy-paste that chunk of text from your "moodle book" into another moodle resource or activity's WYSIWYG editor, e.g. a Glossary entry, a forum discussion, an HTML page, etc.?
If you are having problems in those other resources/activities, then the problem is not linked to the Lesson activity...
Remember that copy-pasting formatted text (and, what's more, containing pictures, as seems to be the case at hand) from one place to another in Moodle never guarantees correct displaying in the end.
Joseph
PS.- Your attached screenshots are really tiny, I can hardly see the details.