Cool. It says that at my current viewing distance in my theater that I am good up to 95" for 1080p... Well, I have a 138" screen, so...
As for my living room, my current TV could be 720p and I wouldn't notice a difference (already knew that, but this little tool was fun to play with).
I am waiting for the interactive guide to sound, where they give you a slider for how far away you sit and the size of your speaker and will tell you what level of MP3 you will hear compression artifacts.