[Xperia Z1 Compact Q&A, Help & Troubleshooting] VooDoo.maGiK:
condensed version

encrypted phone, flashed, not working properly, used flashtool to try to use a stock image to restore phone, did not work, need help to save myself from a expensive waterproof brick

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The longer version of the story (in a galaxy far, far away....)

Just tried updating from last AOKP nightly (yer that old) to RR 5.4.0 but ran into issue flashing it namely from what i believe was from my phone being encrypted previously. It seemed to install the ROM well enough but i kept seeing this little error message popup during the recovery install (i did do a complete wipe etc)

E: cannot load volume /misc

but i assumed all well and good as it did not give a fail or anything so i continue on and try to install gapps for it but then get this error message

Install failed
E:cannot load volume /misc!
Finding update package…
Opening update package…
Verifying update package…
E: footer is wrong
E: signature verification failed
Installation aborted
E: cannot load volume /misc

accepting defeat after this failing after attempting again, rebooted the rom which loaded up well enough and tried to reinstall a different version of gapps, same problem, tried to install via fastboot same problem. Tried wiping the rom and formatting the internal memory via fastboot but got this

C:\Program Files (x86)\Minimal ADB and Fastboot>fastboot -w
erasing 'userdata'...
OKAY [ 1.046s]
formatting 'userdata' partition...
Erase successful, but not automatically formatting.
File system type not supported.
OKAY [ 0.007s]
erasing 'cache'...
OKAY [ 0.043s]
formatting 'cache' partition...
Erase successful, but not automatically formatting.
File system type not supported.
OKAY [ 0.008s]
finished. total time: 1.108s

could not flash the rom due to the android-info.txt issue with fastboot, flash a boot.img from RR, got the z1c running again and settled into a life without gapps and actually felt like it was a really good thing after a bit of research and finding alternatives but kept running into odd app errors and force closes and issues with receiving sms that forced me to have to figure out why it was not letting me install zips. Tried my luck on cm-12-20150402-NIGHTLY-amami build but had some issues with a few things got stuck in bootloop so decided i would try to start fresh so i moved on to my next step

Used this reference point for the ftf file and how to repair soft bricks http://xdaforums.com/showthread.php?t=2631291&nocache=1, used flashtool after locking and unlocking my phone option (seen a few threads where people recommended it in the past) tried to flash the ftf file then got this (check attachment from flashtool for log), now really stuck phone reports that OS install failed and to try again but i know better than to keep doing the same thing over and over and to expect a different result so I ask the xda saviours for some assistance in getting me out of this problem.

Thank you for your time if you stopped in here to look at my request for help, it really is appreciated and to show that i will put a bounty/donation up for whoever solves my issue first as a sign of my good will and gratitude for your brains :)