Thanks for that dude, I have already downloaded and run system-config-display. Unfortunately it did not solve my problem.
I have rebooted and gone into it again and set my monitor to Gateway Vivitron 15 (which it is) and rebooted. Next I will have to power down and open up the machine to see what the video card is. I thought that with 800x600x256 it could work with Intel Generic Video card. Maybe not though!
I'll keep you informed!
You may be able to find out what video card you have using:
$ /sbin/lspci
Also, after booting into runlevel 3, log in as a regular user and try this:
$ startx &> x.output
This will provide diagnostic output in file x.output. Look in the file for lines starting "(EE)" for error messages.
Paul.