Help with Diet Profile please!

Hi. I have not been a member long. I get confused sometimes with the daily goal. I let fitness pal figure mine out for me and diet profile says calories burned, from normal daily activity is 1990/day. Net cal is 1200 daily goal and daily cal deficit is 790. Do they have exercise figured in that # already? I should eat no more calories of 1990 a day and no less than 1200 right? Kind of confused. Can someone please help? Help appreciated. Thanks.