Now I have resolved most of the above for the time being I now do not have the ability to have a selected playlist mixed. Each track plays one after the other with a silence gap and the NOW PLAYING screen shows NOTHING SCHEDULED between tracks in the playlist.
That's funny. I have the exact same problem. It just started a few days ago, or maybe a few weeks ago, but at the end of every song there is a 1 to 2 seconds of "Nothing Scheduled". Within the preferences I have default fade set to 10 seconds. I sort of now think when I set this to 10 seconds it may have started. It was orignally set to 0.10.
By the way I'm on ver 2.3.1 and Debian Wheezy.
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