1st question: Room size is 12x22 completely light controlled. First row of seating will be about 14'10" give or take a few inches. Projector is a Mitsubishi hd1000u. I can mount the projector anywhere I need in the ceiling. I will be using an acoustically transparent screen on a false wall so I wont need room for speakers. Should I go with 110" or 120"? I put tape on the studs and 110" looks pretty good, but it feels like it could be bigger. I know its personal preference, but I dont want the screen to be too big and make the room look funny.

2nd question: What type of lights should I use in the soffit above the screen to give the wash effect? I know people use cans, but is there a specific size or type? Will 3 be ok? In the rest of the ceiling I will have 6 cans, and I plan on putting 6 sconces on the wall. The 6 cans that are in the room would be nice for cleaning or just showing off the room, but probably wouldnt be on any other time. Im not sure if I should pull those down and just use the sconces for light or not (they were installed before I planned on a theater room) Opinions on that are welcome as well.

120" will be fine.

concerning the lights, use what ever size you want but you have to play around with the spacing to get the effect you want. That will dictate how many you have. I used
3 in front of my 96" (110" diagonal) screen.

Those lights are only on whenever I am trying to light up the entire room, such as for cleaning.

120" will be fine.

concerning the lights, use what ever size you want but you have to play around with the spacing to get the effect you want. That will dictate how many you have. I used
3 in front of my 96" (110" diagonal) screen.

Those lights are only on whenever I am trying to light up the entire room, such as for cleaning.

120" it is. I cant see how going that big will hurt anything. Especially since my speakers will be behind it.