Have not tried C-script much with A7, but with Lite-C I don't have problems running full screen or setting video modes.
Code:
#include <acknex.h>
#include <default.c>
STRING* MyAppTitle = "Yet Another Lite-C Application";
function main()
{
video_mode = 7; // 800x600
video_screen = 0;
video_window(vector(375,350,0),NULL,112,MyAppTitle);
screen_color.blue = 125;
level_load("world.wmb");
wait(2);
}
Maybe you have set the command -wnd in WED/SED/VC?