Hi All, I have been doing a lot of reading but am still a little lost in putting all the info together to build a budget system. Maybe some of you can offer some tips and help clarify my thinking. I am looking for a "budget system" for the living room of a small apartment. My goals are to have a decent (within budget) system to watch HD content and listen to music (I was told that a system good at HT may not be as good for music?). EQUIPMENT: PROJECTOR - * Optimo 720p projector (until I upgrade to 1080p projector and/or TV) BLU-RAY (PS3) I plan on getting a PS3 (slim) to use as my blu-ray player. I am also planning to use that for netflix streaming. OTHER: I hope to stream more content from the PS3, but am trying to figure out how to connect my existing iMac 24in 2.8 ghz Core 2 Duo (7,1 identifier) to deliver other music / video content. Not sure yet whether this should/can be done direct to receiver, or through PS3 to receiver, and then out to speakers and projector. Also not sure how I can do this wired or wirelessly, and if I am gaining or losing anything in terms of "quality" or convienence/cost by choosing one over the other. I may also consider a device like Roku / Popbox, Boxee, etc, if it has access to other content I cant get through the PS3. RECEIVER: I am considering the onkyo TX-SR607 7.2-Channel Home Theater Receiver (choosing this over the TX-SR507 mainly for the # of connections and the hdmi 1.3 repeater, thinking I can use the hdmi cable for video & sound, rather than being required to use a sep sound cable as needed by the 5.1 system...is that correct? SPEAKERS/SUB: This is where I am lost. I am looking for something that sounds good for HT and music, but must sacrifice a bit because I need speakers on the smaller side. I was considering something like the Bose systems, but I honestly dont know what to believe about their capability. A friend is willing to sell me the Bose Acoustimass 10 speaker system for $500 (retail right now is $1000)...it is is pretty new, so it is a good deal price wise, but not sure if it is good deal speaker wise. BUDGET: Around $1000 for speakers (5.1) and receiver. I could be persuaded to just get the fronts, center and sub for now, and add the rear speakers later. I have an old Sony DAV-S500 5.1 system...not sure if I can use two of those speakers for temp rear speakers in the new system or not. So, any thoughts on what I might want to consider for Receiver / Speaker systems? Thanks in advance for your thoughts!