I was having a lot of confusion about the starter content here as well, I eventually found out that the idea is to take the project that we create in the first video of section 1, and only import the AssetKit file into that project that we/your students create.
The Game25D (1) file is the final project and should be ignored. I am not much further into the project than figuring this out so I am not 100% sure this solves all problems, but wanted to share since I was held up for a while myself.