I got my new Co. Recruit last weekend and I have been flexing it on the carpet to get the feel for it and the boots, do these boards ever break or get worn out by doing this? Or is there something I should avoid doing on it?

Yes they will break in. Shouldnt wear it out or anything. My recoil was really stiff when I got it and after like 2 sets it got a lot easier to flex. It still rebounds, its just a little bit softer. Snowboards do the same thing. I know I have done the carpet thing once or twice when I first got it and heard a few (cough cough)popping sounds lol. I quit playing with it at that point. But I think they really just have to be broken in a little bit. It certainly isnt a wet noodle though in snowboard lingo.

My first recoil was used hard for like 2 years... still popped great after all that.

Should I avoid balancing on the tip of the board on the ground?

Probably... i just dont see it being very healthy for the wakeboard