Having the same problem, though this bug seems to be a duplicate of bug
<a href="https://bugs.edge.launchpad.net/ubuntu/+source/xserver-xorg-
video-ati/+bug/641525">#641525<a>
A way to fix the symptoms is also present at that bug page, though I
suspect that the actual resolution detection issue is not really gone.
** Changed in: xserver-xorg-video-ati (Ubuntu)
Status: New => Confirmed
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[M7 LW] [RV250] resolution incorrectly detected on various radeon cards
https://bugs.launchpad.net/bugs/645377
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