So I'm not exactly sure which wall is 10 and which is 13 but I guessed that the wall with the front door and the door to the kitchen were the longer walls. Here I have added a sleeper sofa ( about 75 wide inches) and two barrel accent chairs ( light enough to be moved out when you extend the sleeper). This gives you a comfortable reading area. If it is too much like a living room, you could remove the chairs ( and even use a futon like these at Target: http://www.target.com/p/sleeper-sofa-warm-chocolate-abbyson-living/-/A-50447700#prodSlot=medium_1_4&term=sleeper+sofa). I have added an area rug to define the space , a small round coffee table and a floor lamp in the corner. ( Front door is at the top of the mock up)

Across the room is a small craft table with two chairs and a cabinet ( for your crafting) up against the front wall. Hope this gives you some set up ideas: