Virtual Machine is not extended to the second display in Full Screen with 'Use all displays' option enabled

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Symptoms

Virtual machine's (Guest OS) screen area is not displayed on external monitor after entering Full Screen mode with 'Use All Displays in Full screen' and 'Use Mac OS X Full screen' options enabled.

Cause

Mac OS 10.9 Mavericks has introduced a new feature, "space per display", which is fully supported in Parallels Desktop 9 (starting from the revision 9.0.23136.932290).

Resolution

There are three options to use multiple monitors in Parallels Desktop on Mac OS X:

  1. Upgrade to Parallels Desktop 9 (9.0.23136.932290 and later) or to Parallels Desktop 10 the latest version: Parallels Desktop menu -> Check for Updates...

    or

  2. Turn off the option "Displays have separate Spaces" in System Preferences -> Mission Control. Please note that this would affect all programs on Mac OS.

    or

  3. Turn off the option "Use Mac OS X Full Screen" in the Actions (or Virtual Machine menu in Parallels Desktop 9) -> Configuration -> Options -> Full Screen.

  4. Log out and then log back in to your Mac user account

  5. Start Parallels Desktop and check the issue

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