Forced use of component on OSD setup of In/Outs on AVR-635?

I have a question about the In/Out setup of the AVR.

With each device, you MUST choose a component video intput. There is no "none" selection. So say for Video One, I renamed that to ReplayTV (since the remote is labeled VCR). I have audio going in optical 3 and S-Video in Video 1 in the back. I have transcoding on (or whatever their fancy name is on the OSD, and set to AUTO). There are no component cables being used with the device. But if I were to leave it at the default Component 1 setting, it'd interfere with my X-Box. In fact, I tried this and sure enough, with both devices on, my X-Box displayed on the screen. The other choices for Component are Component 2 and DVD.

So what I did to get around this was set all my S-Video or Composite devices to Component 2 since nothing is plugged in there. Then it automatically used composite or s-video as needed.

What if I end up with a third component device and fill all the slots (Component 1, 2, DVD)? Then when I ran setup, I would be forced to choose an active one and it would end up showing me the wrong output for a particular device.