you are corrct.
the chess match could NOT end in checkmate with one move, as stated in the quest.
unless people have different screens, which i serioously doubt, whoever came up with the quest was either incorrect or it's someone's sense of humor - and i fail(ed) to see it.
i spent (probably like you) a good half hour looking at the board, fully realizing that there were simply NO moves to answer the quest - but sure i'd missed something. heck, i even went back to a previous save! silly me. <img src="/ubbthreads/images/graemlins/smile.gif" alt="" />
moving the white knight to K5 (e5) will STILL allow for the black king at black Q3 (d6) to capture the white pawn at black K3 (e6) without jeapordy.

as far as '65' squares. sounds like one of those fun iq tests where you have to include the 'square' of the board itself to get your 65 answer! but then you could start taking groups of 4 squares and calling them each squares.
too much work!!! ha!