Windows 7: Windows 7 says HP LCD is 'Generic Non-PnP Monitor', low resolution

I recently purchased a Pavilion P7-1108P with Windows 7 (64) to use with a brand new HP S2031 LCD monitor for my home-based accounting business. The Pavilion has an AMD A4-3400 APU with Radeon HD Graphics. There is no VGA port on the back of the computer, only two DVI-D ports. I connected the new monitor to the new computer with the single-link DVI cord that came with the hardware. My problem is with the display; it is huge and pixelated and will not work with the accounting software that I need to use. On the screen resolution page, the display is listed as '1. Generic Non-PnP Monitor' with no other choices available, and the resolution is set at 640 x 480 and greyed out with no other options. I have tried installing the drivers on the CD that came with the monitor, but nothing changes. I have also downloaded the drivers from the HP website for this monitor for Windows 7, but the computer says that it was not installed correctly. After three hours on the phone with HP Tech Support, I was told that the monitor was not compatible with the computer. I did my homework before the purchase, the specs for this monitor state that it is compatible with Windows 7, so what am I missing? Any help would be greatly appreciated... I quit my full-time job to start this business 4 weeks ago, and I need to get up and running ASAP!

Thanks in advance!

Just passing by.

Have you re-installed the Radeon drivers?

I'm not quite sure how to reinstall them... the computer shows that the drivers are up to date, is there another way?

Thanks so much for your help!

Did the monitor come with a driver CD?
If so, did you install it?

"The monitor is not compatible with the computer"? Now there is a bold-faced brush-off if I've ever heard one!

The first thing I think of is that the video cable is defective. Is this a cable that came with the monitor? If this is a new monitor then they usually ship it with 2 cables: a DVI cable with white connectors, and a VGA cable with blue connectors. Sometimes there is a VGA to DVI adapter shipped also. If there is you could try the VGA cable to test. Otherwise, try the DVI cable in the other DVI socket on the PC.

The second thing is the video driver as zigzag suggests. But before we have you reinstalling your video drivers let me ask:

• Is the computer and monitor both brand new out of the box?
• Has the PC been used with another monitor that worked?
• Do you have another monitor that you can use or borrow?
• Where did you buy the PC - online or brick & mortar store?
• Have you made any changes to the computer or Windows?

Also, when you right click on the desktop there should be an option for CCC, or AMD's Catalyst Control. Open that and see if there is an option to change resolutions there.

Here's my question. When I had XP, I could choose from a wide selection of resolutions as to how I wanted to access my display (I actually have an old but large CRT). It supports many different resolutions and I picked one to maximize real estate - 1600 x 1200 or something around that. However, when I switched to Win 7, I get Generic UPnP and have only 1280x720, 1024x768, and 800x600. I'm forced to use 1024x768.
Can someone explain why for me?
Thanks.

Edit sorry didn't read your specs,

But ! can't you adjust resolution in the ATI Control Panel ????.

Because I can make my own one in the Nvidia Control Panel

Probably because you are running your graphics with the generic Windows 7 video driver and those are the only resolutions it does.

If you could install the full driver package for your particular video engine you would most likely get more resolution choices.