High Definition (HD) movies with a Mac Mini.

I have been using an Apple TV with my HD TV set to watch movies - however, I can't have 1080p resolution with this setup, so, I am planning to get a Mac Mini and I would like to verify that in that case I will be able to play my movies at 1920-by-1080 resolution. Most likely I am going to use XBMC as a media center (I already use it with my Apple TV and I like it very much). I am planning to connect my TV to the Mini Mac using a Mini-Display-Port-to-DVI or Mini-DVI-to-DVI adapter and then a DVI-to-HDMI cable.
So, is this correct or am I looking at the wrong direction?

I used the display port to HMDI from Monoprice.
<http://www.monoprice.com/products/product.asp?cid=104&cp_id=10428&cs_id=1042802&pid=6331&seq=1&format=2>
This device integrates the optical audio into the HDMI. Worth it's price.
I then connected the Mini's Monoprice device to one of my Sony receiver's HDMI input port with a 3ft HDMI cable I got from a Woot special. However, you can get an inexpensive HDMI cable from Monoprice, too.
Now for the hard part. You will need both SwitchResX
<http://www.madrau.com/SRXv3/html/SRX/About.html>
(Follow the instructions on this Apple Discussion page (scroll down):
<http://discussions.apple.com/thread.jspa?threadID=2004318&start=50&tstart=0>)
and DisplayConfigX:
<http://www.3dexpress.de/>
Use DisplayConfigX's Test Screen tab to bring up the Image Size Test screen. Follow the instructions at the above 2nd link to adjust the screen resolution with Overscan on (check) in the Sys Prefs Display pane.
You will have to iterate between the SwitchResX instructions and DisplayConfigX's Image Size Test. I finally homed in on the best solution for my Pany using these instructions in about an hour (but I was anal about getting it just right).
Good Luck

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