Hi Jeff B...
The C-26 resistors are part of the speaker/headphone operation and are totally separate from other circuitry in the C-26.
The C-26 has 4 high power resistors in its circuitry. Two are 16 ohm-10 Watt (R-203 and R-204). The other two are 100 ohm-5 Watt (R-201 and R-202). The 100 ohm resistors are series limiting resistors which feed the headphone jack providing a load to the power amplifier when the speaker switch is off and if someone removes the headphone load. The two 16 ohm-10 watt resistors are used, across the speaker, amplifier input providing a load for the power amplifier output should the speakers, both main and remote, be turned off, as well as no load present at the headphone jack.
These high power resistors should be connected if you are going to use the C-26's Speaker/output matrix.
Hope this is of some help.
Mark
McIntosh Service Center.