Getting ARC Audio Return Channel Working Correctly? Please help

Hello i just recently bought a Pioneer HTP-071 Home Theatre in a Box and a Hisense k366 40" Series LED TV. I am trying to connect the TV to the receiver via ARC so I can enjoy Netflix, and Pandora on the smart TV through this sound option. I just went out and bought an optical cable yet found out my TV does not support this connection.

So I setup the HDMI cable to the TV to HDMI 3 which has (ARC) in parenthesis below it. I plugged the HDMI to the receiver under "out." I turn both the tv and receiver on and was able to enable CEC via the tv. However no sound is coming out through netflix or pandora. I can't seem to find any option on the Pioneer receiver to turn on HDMI ARC, anyone have any ideas? Before I used these apps my TV is using HDMI 3 input...

Thank you.

Otto yes they do.

JBrower this option doesn't come up under system setup. I am so confused because the manual that came with the box says nothing of this option however the outside of the box says it features audio return channel. I found the online manual and mentions this system
Menu option on page 27 however I can't seem to find it.

When I hit system menu on the remote do I need to be on any specific input on the receiver? Also after hitting system menu you are just scrolling down through the different menu titles to find hdmi setup correct? Thanks for trying to help me, I will dig through the menu again trying to find it.

The receiver is a vsx-321 -b -k if that helps anything.

Also I found where to turn on hdmi Cec through the tv and give control option but the online manual I found says not to use this feature. I guess I can mess with this when I figure out how to setup the receiver to Arc.

I'll check the menu again when I get home and reply.
Edited by sebastieng - 2/13/13 at 5:41am

I was never able to find the option in the menu. I also found a post from someone else that said the North American VSX-321 was
Missing the HDMI control menu option after talking to a Pioneer rep. I bought myself a digital coaxial able and am saving myself the headache of figuring out this advertised option on my receiver that doesn't seem to exist. Thank youfor your replies and Help.