Only plugged a grinder into the 120 outlet to verify power. The AC volt gauge showed 220 and the volt adjust would move it quite a bit + & -.
That's the part that threw me off. 220 and being able to move it + and - quite a bit equates to 240 volts (Since it's a common mis-statement for 220 / 240 volts) It would have been better to say 208 and able to adjust up to 220....but I digress...LOL
It probably showed 208 volts before because you had the small selector switch set to read voltage across any 2 phases rather than from any phase to L0.
And as far as the L1, L2, L3 and L0 lingo. That is the descriptions of the phases of the output voltage. Since it is 3 phase, you have 3 "lines" of power coming from your generator. They are L1 (Line 1), L2 (Line 2), L3 (Line 3), the 4th one not mentioned is the neutral L0. If you open the cover hiding the output terminals of the generator to the side of the control box, you will see the markings L1, L2, L3 and L0 formed into the fiberglass mounting plate the lugs are attached to.
Try this if you see this post today.
Set the large switch on the 120/240 single phase setting. Set the small selector switch on the panel to roughly the 2:00 o'clock position (Reading from top to bottom 1, L3-L1 and L3) That tells you you are monitoring the generator in single phase mode, reading voltage from L3 to L1 and getting your current reading from L3. If the generator works properly you should see 240 volts on the volt gauge and be able to adjust it down below 240 and above 240 I'm going to guess at least 10 volts or more each way.