Calorie Intake vs calories burned!

shack1157

I am allowed 1600 calories to consume by My Fitness Pal. I burn around 700 calories doing exercise. Am I suppose to be eating those extra calories or can I leave them go and only eat the 1600 original calories? It would seem to me that you would want to burn more than you take in! Please help me with the correct thing to do! Have been dieting since Oct and have lost 71 pounds!