budget 5.1 receiver with optical in

The satellites I have are all 40 watts at 6 ohms. Basically the speakers from a DAV-S400 that far outlived the system they came with.
I also have a Yamaha 80 watt active sub but I would need to check to confirm for sure.
 
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I use an older Yamaha RX-V373 which I am happy with. I think Yamaha is up to RX-V379 now, they are usually right under $300.
Not sure if you've used a setup like this before but when I initially hooked it all up I couldn't get surround sound and I was stumped for a while. Turns out you need to use Dolby Digital Live or DTS Connect to encode PCM into 5.1 through optical.
 
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I was checking the 2nd hand websites here. There is a Yamaha RX-V357 going for RM 520 which is around £100 ish. I'll query with one of the stores here about your model. Cheers!

I've got an Onkyo TX SR-608 in the front room so I have some experience in setting these things up. Not a professional by any stretch of the imagination but it does sound good. Just trying to get better sound from my racing setup to further add to the immersion. Then there are the bass transducers...
 
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