108.5 sounds correct with a multiplier of 1 - at least, in the ballpark.

Thank you 1,000 times more. Now I'm fairly certain I need to adjust the VREF

MIcrostepping is limited by the stepper driver on the motherboard, and determined by the jumpers. If you haven't upgraded the stepper drivers, then you are limited 1/16. If you have a printrboard, you are limited to 1/16 unless you replace the whole board. If you have a Sanguinololu, you can replace just the one stepper driver. You can probably get better results that what you currently have by tuning the stepper Vref by hand/ear.

108.5 sounds a lot more like steps/mm than extrusion multiplier...

Thank you for the clarification, Tim.
And yes, I phrased it wrong...108.5 steps per mm in EEPROM is what I meant to say

108.5 sounds a lot more like steps/mm than extrusion multiplier...

Thank you all again for your help.  I was able to solder and install the new driver yesterday, and also retrim all of my stepper drivers.  The results are pretty noticeable.  I hope to get a new extruder stepper down the road and improve it even more.  Here are some comparison pictures:

E3D Hotend, 1/16 microstepping (Before):

E3D Hotend, 1/32 microstepping (After):

First off...sorry for quoting large images.

I installed the E3D and immediately noticed a difference. But my current issue still looks more like the first image I quoted. So I have two separate questions:
1) For adjusting microstepping- This is through RH under tools and leadscrew calculator, correct?
2) For extrusion multiplier I have 1 and EEPROM states 108.5....this seems a bit high, but I don't want to mess anything up.
Plus, it's a bit faster to ask the forum than a series of trial and observation.

Thanks - this fixed things for me too.
The extruder stepper noise went from chigchigchigchig to mmmmmmmmmmmmm
After this I had to change my steps per mm from 98 to 136
but I think it's cured my wavy extrusion problem

For steps/mm that seems high I would think your extrusion multiplier is off or filament diameter is not accurate.  Steps/mm should be right around 104 - 108.  Even if you think your getting good results it will affect something else at some point.  Either way if it's working... Great.  You will want to take note of it being set rather high for future trouble shooting of some other issues you come across.
Happy printing.

A hearty lurker's THANK YOU from me as well-- that little turn of the pot really iced my cake of upgrades

On the left: er... this was supposed to be an upgrade!
On the right: PHEW!

Glad to see your getting some positive results.

On the left: er... this was supposed to be an upgrade!
On the right: PHEW!

My printer is fixed, after a long time trying to get this to work with the E3D, and now it is.
THANK YOU all for your help.
I owe you a drink.
Thanks G

Additionally, with the e3d, you will find it advantages to set RH to extrude at 60mm/min and then extrude 120mm's.... then adjust vref up or down until you see the smoothest possible rotation on the drive cog (mark it with a sharpie - it helps immensely) .

This will virtually eliminate moire. steps after this is to switch to bulldog XL or other geared extruder (or try 0.9° steppers).