How would I set the audio to OPT 3 when I have the DVR at HDMI 1? I have to select HDMI 1 as the input to see the picture, so how would I get a picture if I have to select DVD/VCR for the audio portion?
I still think that you should be able to get audio over HDMI. Did you pick that as the input signal for the DVR (described on page 31 of the manual)?
Regarding using the optical input for your audio:
What input do you select (on the front panel or remote) to watch/listen to the DVR? I know that you've said "HDMI 1", but I was assuming that was just your selection for the assigned HDMI input. Perhaps not.
Let's say that you are using "DVR/VCR1" as the input that you use for your DVR. On page 67, it discusses how to set things up. You should be able to do the following on the "Input Setup" menu:
Input: DVR/VCR1 (or something similar to that...I don't know the exact name)
Digital In: Select the optical input that you used
HDMI Input: Select the HDMI input that you used
Component In: Probably doesn't matter, but I'd set it to "Off" if that's a choice
S-Video In: Probably doesn't matter, but I'd set it to "Off" if that's a choice