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Sounds like your monitor is not set up correctly in the settings.
Check to see if it lists your monitor.
Renameing the AVI folder to AVI_back and setting your color depth to 16BIT should work as well.
 
Right click on desktop, properties,Settings, Advanced, monitors.
What does it say for monitor?
 
Try selecting Default monitor, one that has high resolutions.
 
Open Display Properties in Control Panel.
Click the Settings tab, click Advanced, and then click the Monitor tab.
The monitor that is selected for your computer is displayed under Monitor Type.

If correct monitor isn't listed, click Properties.
Click the Driver tab, and then click Update driver.
After the Hardware Update Wizard starts, click Install from a list or specific location, and then click Next.
Click Don't search. I will choose the driver to install, and then click Next. This provides a list of monitor manufacturers and models.
In Manufacturers, click the manufacturer of your monitor, and then in Models, click the model name.

If your monitor isn't listed, click (Standard monitor type) in Manufacturers, and then choose the most compatible setting for your monitor in Models.
Click Next, and then click Next again.
Note

To open Display Properties, click Start, click Control Panel, click Appearance and Themes, and then click Display.
 
If you follow the instructions you should get a default monitor, that'e the point.
Obviously the driver info from the Packard Bell driver is not reporting it's capabilities correctly. So replacing it with a Default driver that allows those modes, will solve your problem.

You could also try reinstalling your Video card drivers (make sure you have the latest version).