When you do factory reset, I noticed it still had all the inputs assigned and it still played in reset mode. Im using my 4311 as a preamp and have a power amp running the speakers. So shouldnt a reset to factory make it to where its not in the preamp mode and nothing play? You mentioned the 3400, is it comparable to the 4311?
I'm thinking any input designations should be wiped. I'm not sure about the pre-outs, I think they are always live and the pre-out setting may shut off part of the amp section or allow it to be used in another capacity.
There are different levels of resets.
I'm honestly not sure which this one is, but from the owners manual, page 138 says:
1.Turn off the power using ON/STANDBY.
2.Press ON/STANDBY while simultaneously pressing STANDARD and DSP SIMULATION.
3.Once the display starts flashing at intervals of about one second, release the two buttons.
There's a note below this that says
If in Step 3 the display does not flash at intervals of about 1 second, start over from Step 1.
Is that the same process you used?
If not, I'll look deeper to see if there was another "service reset" not provided in the owners manual.
If you were to do as I suggested on buying a new unit, the 3400 would be last years model with the standard Denon warranty.
The 4311 was Denon's earliest adaptation of XT31 into a mainstream AVR (I might guess that XT32 was available earlier in some of their multi-thousand dollar units).
Generally I would expect the X3400 to have more because it is a new model.
When you bought the 4311, you had to buy one of Denon's pricier AVR's to get XT32. Now it is on their 3400 which is not as "premier" of an AVR as the 4311 was - as an example of how a newer AVR gets more for less.
I think the X3000 and X4000 series are the place to buy because they are not where Denon pioneers new technologies too much and they sell so many of these units that I suspect they go through more rigorous reliability testing than their other models.
Note that the X3000 series did not have XCT32 prior to teh X3300 (in case you are buying used).