7900Z (as well as 8900ZDB and 9900Z) uses a strange contraption for the volume control. Inside the unit is a conventional dual ganged audio taper potentiometer to control the volume. However, it is linked by a length of dial cord to a small DC motor and gear box which drives the pot and a sliding backlit film visible through a narrow window on the front panel to simulate a digital bargraph display for the volume level.
There are up and down buttons on the front panel which control the operation of the motor inside, and in turn the pot and the level display "bargraph". All in all, a very convoluted way to achieve a digital volume control (that really isn't) but hey, they were going for a certain look and feel and I guess this was the easiest way to get there at the time.
Anyway, the dial cord could just be slipping, could be broken or have jumped off somewhere, or the motor or its associated drive circuitry could be faulty. None of this should be too difficult to fix and get the volume control functional.
In more general terms, it is a good receiver and still kind of overlooked. Not exactly to everyone's taste with that early 80's digital light show thing it has going on, but it sounds good (it is a direct coupled output stage). Not quite built to the same standard as it's predecessors in the G series, but still a quality piece albeit with some cost cutting evident.
If you don't mind the near seizure inducing theatrics of the digital displays in a dark room, it will do quite nicely. I have a 9900Z and it was a steal at the time so I gambled on it. Glad I did as it's a sleeper, or at least was one at the time I bought it about 12 years ago. I'd say you did quite well at the price offered if the volume control is the only thing that needs repair.