I followed the settings Ken Rockwell gives in his D40 users guide, and I'm pretty much always happy with the results. It's far easier to turn up the brightness than to deal with the loss of detail due to overexposure.
www.kenrockwell.com/nikon/d40/users-guide/index.ht...
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Ken Rockwell - D40 Users Guide
Found his D-40 app on itunes quick reference good to have. learned lots of things about the camera.
Firmware Defect #1: Nikon's firmware leaves Auto ISO active even in manual exposure mode. This makes the D40 change the ISO automatically and defeat the purpose of manual exposure. Remember to deactivate Auto ISO when using Manual exposure mode.
Firmware Defect #1: Nikon's firmware leaves Auto ISO active even in manual exposure mode. This makes the D40 change the ISO automatically and defeat the purpose of manual exposure. Remember to deactivate Auto ISO when using Manual exposure mode.

