Thanks, Daryl. Being a woodworker, I couldn't resist making trim extensions on the inside. I ripped 1/2" wide x 3/8" thick (the amount needed to extend the window jamb) on my table saw and then used my brad nailer to fasten them to the jamb. I set the trim pieces I made back for a 5/16" reveal, so they look just like a natural part of the window. LOML and I believe they actually improve the look. And the windows are now flush with the drywall, so I can continue adding casings.
By the way, my wife (LOML) and I took our kids on an Alaskan inside passage cruise 2 years ago, and we spend a week in BC. We visited the Butchart Gardens and loved it.