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When I try to use the "B" and "N" keys to shorten the playback area it goes to the end of the greyed out frames, not where the playhead is, same with the layers when I use the "I" and "O" keys? Using Version AE 17.0.4
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There is nothing wrong here. This is how it works. The playhead position reads the frame on the right, as it does with the IN points. All the video apps work this way.
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A frame exists - is shown - over a period of time. The playhead simply sits at the start of that frame, not the end. Hence the space to the right - the time period of the frame itself.