My binary was rejected with the error above as the reason. I checked my xcode settings and under the "General" tab of info I have the Project Format set to Xcode 3.2 compatible which is the highest available. I have the Base SDK Configurations set to iPhone Device 4.0 - also the highest available. In the "Build" tab, I have the Base SDK set to iPhone Device 4.0. I have all of them set to the highest, how can they not be receiving these types of apps?
EDIT: I confirmed that I am using the newest version of Xcode (3.2.3) and I never had the beta test version installed - this is my first app. I have confirmed that every single place that I can find - the OS is set to 4.0. No matter what I seem to do - I still get that same error message when trying to upload the binary.