I don't understand:

- To review your completed list... line up your ships by offense, and then by defense; try to align these orders as much as possible to ensure a balanced list

What exactly is that doing and how is it balanced? And why is that good?

If you have one ship that deals heavy damage but dies quickly, and one ship that will take forever to kill but deals very little damage, your opponents will kill your heavy hitter early, and be able to kill your other ship in their own time.

Therefore, make sure your biggest threat is also the ship that is hardest to kill, and your opponent cannot easily cripple you.