I resolve this tension in my own mind by understanding "koan" as you use it to mean "exercise."

I do the same. I could find no deeper meaning in EY's use of "koan". Maybe I'm missing something.

I also replace all of your Japanese phrases in my head with their corresponding English.

Same here, except I have to look up this annoying pseudo-Japanese in-group slang almost every time. Is using it intended as some kind of status signaling?