Protective Digital

Protective Digital
Digital Input Question about 5.1 W 1000 RCA RT2870 receiver?

I am thinking of buying the system of 1000 watts RCA (granted I am aware that the speakers are not great quality, but I have a question about digital audio receiver. The specifications say it will take two coaxial and optical however, my question is more concerned if I have two digital audio sources. My TV has a coaxial cable out, and I can run optical from my xbox 360. Will I be able to have these two devices connected at the same time, there will be multiple digital channels, so just pick up a signal and running with one, or go to the audio output is not what so ever. Single I'm confused, since never can see this feature in action behind the protection cases in stores, let alone manipulate the devices (ie, tested aside from the turning of vol. up and down.)

The way it works is that my receiver digital input is treated as a single device, but you have to press a button the remote control that will change, that "cable" you are hearing. I have a similar setup and works well.

Bella Blankets Protective Coverlets Application Instructions for Digital Mammography