Finally got it.
Just finished the first palace. Everything went smoothly. Incredible game. The presentation is out of this world.
A couple of questions.
- Is there a reason not to sell all treasure?
-The hold up... Why should I go for an all out attack ever? Unless there is an exp penalty I missed.
Always sell treasure. No gotchas there.
I'm not 100% sure about this, but in my experience, you use an all-out attack when you have multiple enemies still alive and you're trying to maximize XP. Choosing the negotiation options will net you XP for any enemies you killed plus the one you're negotiating with, but will NOT get you XP for any other enemies you leave alive and escape alongside the one you talk to.
If you only have one enemy alive when you get to the hold-up, you pretty much always want to negotiate unless you're extremely concerned about what happens if negotiations fail (i.e. you're facing a really strong enemy that you don't want to have to fight normally, or you're about to die). These cases are relatively few and far between, but they do happen.
You also lose out on the money you'd normally get from any enemies you let escape, including the one you negotiate with, but since you're probably negotiating for money most of the time, this tends not to be an issue--the money that one demon hands over usually more than offsets what you lost by not completing the fight normally.