Re: What is the drain/flange supposed to look like?
The purple substance is likely PVC primer, used to soften and prep the material for gluing. The glue was probably clear which is why you only see the purple. There should be a bit of a ridge of glue visible around the inside of the flange where it was slid over the pipe. Judging from what I see in the picture, all is fine.
What is not technically correct is that the flange is supposed to be flush with the finished surface of the floor. Sitting on top as it is generally isn't a problem, it kinda depends on the toilet and how deep the base is molded. I personally would refrain from caulking the base of the toilet and keeping an eye on it for a while to make sure there are no leaks.
I suffer from CDO ... Its like OCD, but in alphabetical order, LIKE IT SHOULD BE!!!