Was the xorg.conf file already present? Because in most cases, the resolution is automatically fixed by Xorg. Its very rare that you need an xorg.conf for setting resolution. If you already had one, on the console (tty, not gnome-terminal, etc.) run Xorg -configure as root, it will create a file called xorg.conf.new Backing up the old file, copy this file to /etc/X11/xorg.conf Check if that fixes your problem.
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