Do not appologise for asking any question ever.
Peoples mechanical aptitude varies so if some one uses a term you do not understand then by all means ask .
The moving pulley is mounted on an arm that pivots around a bolt
Some times there is a bush there .
The hole is the pivot hole
It s supposed to be oiled but never does so it wears oval.
Twenty thou of wear on the hole is a 1/4 " at the pulley