With prices tumbling, projectors are fast becoming a realistic alternative to large-screen LCD or plasma TVs. Sanyo's latest, the PLV-Z700, features a 16:9 native resolution of 1,920 x 1,080, which means it's perfect for Full HD (1080p) content.

Compared to most projectors in this price range it's an absolute beast, measuring 40cm wide, 15cm tall and 37cm deep and weighing 7.5kg. There's no shortage of ports at the rear; S-Video, composite and VGA inputs are joined by two component and two HDMI. The supplied remote looks a bit dated, but the large, backlit keys make it easy to use in the dark. Should the remote make its way down the back of your sofa, nine buttons sat on top of the projector chassis can be used to access the menu system.

Switch the projector on and the lens door automatically slides back, which is a nice touch. It's also incredibly quiet, with Sanyo quoting noise levels of just 21dBA.

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Once up and running, we managed to get an impressive 100-inch projection from a distance of just under 10ft. This was, however, with the lens at its full 2x optical zoom setting, which reduces brightness by around 50 percent.

Thanks to the manual lens shift wheels on the right side of the projector, you don't need to have it perpendicular to the wall you're projecting on; unlike digital keystone correction, lens shift such as this won't shrink the display in order to project an undistorted image.

We tested it out on a variety of sources, the first being a standard definition TV broadcast plugged into the projector's composite video input. As expected, using such a low-quality TV source over a similarly low-quality composite connection didn't produce amazing results, and the large projection exacerbated compression artefacts. However, it certainly wasn't as bad as we were expecting.

We then hooked up to a 720p broadcast of a football match via Freesat. The difference was immediately noticeable, with the PLV-Z700 producing a vibrant picture with excellent detail. But it was when we supplied the projector with the 1080p content it yearns for that our eyes really got a treat - Batman Begins looked razor sharp with rich, accurate colours.

We did, however, have to tinker with the settings to get the picture looking its best, and with so many options to play with it's disappointing that Sanyo couldn't stretch to including a printed copy of the manual.

Thanks to its 1,200 ANSI lumens, the PLV-Z700 was able to produce a viewable image even in a reasonably well lit room. The only real complaint we had was that despite the 10,000:1 contrast ratio, black levels weren't quite as relatively dark as we'd like. By default, the PLV-Z700 will adjust the light levels depending on the content, however we weren't sold on this as the sudden shifts in brightness were often all too noticeable. Fortunately you can turn this feature off.

If you don't plan on providing it with much HD content, there are plenty of cheaper projectors available. But if you want to experience 1080p video in its full glory, the Sanyo PLV-Z700 is currently one of the cheapest Full HD projectors around, and as an entry-level model it performs extremely well. Shop around and you'll find it for under a grand.