I am now the proud owner of a Panasonic 32LXD700 and also have a Sony DVP NS78 DVD Player This is set to 1080p but not sure whether this is correct? Should it be 720?
The TV will accept resolutions as high as 1920 x 1080p, but its own native resolution is lower -ÿ1366 x 768. You're likely to find the best results come from using 720p instead. This isn't a perfect match for the resolution of your TV (it'll produce a 1280 x 720 signal) but it's certainly closer to the mark.