Eating to make up excersise calories?

Actually to reach the goal you set out for when signing up for MFP you would have to eat all of your calories including those earned from exercise, assuming the estimates are correct.
What is you current weight loss goal per week on MFP? If you are at 2 lbs/week you are already in a caloric deficit of 1000/day, if you still have 1400 left at the end of a day your caloric deficit would be 2400, which over the long term is too large and may cause your metabolism to slow down. Food is fuel for your body and if you don't refuel your body may start shutting down.

Should EVERYONE eat their exercise calories?? I feel like it defeats the purpose of exercising...

The short answer is yes, your body needs fuel and survive and if you exercise you are using that fuel for other purposes.
The amount of the exercise calories you eat depends on a number of things. The more weight you have to lose you can sustain a larger caloric deficit and as long as you are getting 1200 NET calories you should be fine. The less weight you have to lose the more of your exercise calories you should eat. You have less fat to lose and a large caloric deficit may cause you to burn off muscle which in turn will slow your metabolism.
The only time I would suggest not eating your exercise calories would be if you are set to maintain your weight on MFP and are using your exercise calories to create the deficit to lose weight. If you are set up to lose on MFP I would eat at least half, to keep your deficit in a "safe" range.

Thank you for clearing this topic up for me.

I've found that if I eat ALL of my exercise calories, the weight doesn't come off. Everyone is different & you need to find what works best for your weight loss...