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I currently have my blu ray player set to output PCM. Is this the best setting? Does this mean that the receiver decodes into DTS or Dolby?

Do you normally keep your receiver on direct? If you only have 5.1, when or which DSPs would you use for different materials?

Any input on any of this changeable settings would be welcome.
 

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I currently have my blu ray player set to output PCM. Is this the best setting?
Depends on the particular player and AVR you have.
Does this mean that the receiver decodes into DTS or Dolby?[/QUOTE}No. It means that the player has decoded it from dts or Dolby into PCM for the AVR to process.
Do you normally keep your receiver on direct?
I do not because then the AVR cannot do any processing or bass/channel management.
If you only have 5.1, when or which DSPs would you use for different materials?
I do not use any of the synthetic DSP modes but you might like to try and see if any are to your taste.
 

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Audio processors are not nearly as significant as video processors. Audio wise its unlikely you can tell a difference which component processes. Video, however, is another story. An unusual example is my AVR, it has NO video processor at all and makes a good video chip significant in each and every one of the components my Marantz sees. However, the general rule of thumb is any fairly modern AVR will likely have audio and video processors that are at least equivalent to your sources abilities in audio and video processing. That is, unless you tend to collect unusually high quality sources. Oppo is a good example of this type of 'quality' source that doesnt duplicate equivilant processors already found in your common AVR. In todays sources and AVRs its likely that you have not only duplicated processors but that you have duplicated equivalent processors.
 
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