doublevr I think you need some more time with the player if your asking these questions but it's good to see you're checking it out. Let me clarify some:
Lens distance is just used for when things are incorrect in the video but I never had to change it.
Resolution is for super sampling. You either need low quality screens or very high quality video to see a major benefit. On quest it doesn't do a lot above the default unless maybe when the video is particularly well shot or with a very good camera (and in focus, e.g. the one of VR Bangers).
You normally don't override the autofocus distance for regular use (this is an extra option if you want to keep a particular distance in focus which can be useful if your not looking square at the thing you wanna focus on (e.g. a head in the lower periphery of your view)). Having the auto focus on improves perceived video quality somewhat but its mostly important for preventing double vision. This is the main feature missing in DeoVR at the moment imo as that autofocus doesn't work properly still. Also, related to your comment. In my experience the distance is almost always correct too btw except for some distant walls etc. and I've use it A LOT.
I would say check out the sharpness like other people said and also the motion tab (the distance setting). If you put the latter at about 60 cm it will basically mean the stunt cock will stay in place where it's supposed to in passthrough while moving your head which is currently not possible in deo.
I've said this before but I agree with the recent comments. Yes, perceived quality in Heresphere looks better to me and it's probably the most important factor for a player.
Anyways, hope that helps