Thanks for the response 90312.
After some more research I think my issue was my lack of knowledge of PAR (pixel aspect ratio).
Hopefully I now understand, because I hope to recap my thought process in an effort to save someone else the time and the brain hurting that happened to me. :)
Using the program MediaInfo from my second post, my DVD was showing as 720x480 16:9. (maybe it said the PAR value, but I didn't/don't see it)
So I thought why can't I rip my ISO to a 720x480 16:9 MKV?
Like you (90312) state 720x480 isn't 1.78(aka 16:9, aka 16 divided by 9).
Turns out my DVD was a widescreen anamorphic version. Meaning the data was 720x480 (3:2) but there is a tag, when made, that tells DVD players how to make the squished 720x480 unsquish, and look correct in 16:9. That's why MediaInfo read it as 16:9, because it must have accounted for the PAR.
props to "coolscan" from AVS forums for the link to check if my DVD was anamorphic, & much more. http://www.dvdcompare.net/index.php
Props to "SeeMoreDigital" and coincidentally "signals" in the post link below for convincing me to Rip my anamorphic DVD ISO's to "MKV-passthrough" if i want perfect quality, at the expense of large files. I am thinking i'll go with 856x480 as opposed to 720x404 since 480 doesn't lose vertical bits. yes 856 adds more unnecessary data to the horizontal (still 1 gig smaller in my test with MKV passthrough), but for the moment it is my preference. I probably won't be able to see the difference, but it will make me warm and fuzzy :).
***per the link below I don't think there is an anamorphic transfer in DVDFab? For me, I'm convinced by the link below, the size savings is insignificant and makes it simpler for the player.
http://forum.dvdfab.cn/showthread.php?t=25863&highlight=non-anamorphic
I came across a ton of other helpful links and if it is acceptable i hope to follow up with those links in the future.