One LED signifies power, and the other LED is lit when it receives a code from the included IR sensor cable, which is where you'd aim the remote to test / use.
Try this:
1) Import the CD-5 MXD file we provide:
[Link: bluedo.com]2) Plug the C-1024 in to a power outlet, and the IR Sensor into the appropriate port on the C-1024.
3) Aim the MX-700 at the IR Sensor, and press VIDEO (it'll be the top left LCD button).
4) The 2nd LED should flash.
This is completely separate from the Bose system - I just tested this on the floor of my office with only the C-1024 and an MX-800.
Let me know the results!
David
www.BlueDo.com