Speedre, I hope you don't mind my saying, but you should try to make some things. These inexpensive tools will never be perfect, but they're capable of a lot more than most people would think. It's really hard until you start to build some experience to know what to do or how to do it to make them better anyway.
So give some work a try rather than just returning the lathe to the scrapbin. You may decide it isn't so bad, or you may decide you don't like machine work so much either. Even with a very rough machine, it's possible to achieve pretty amazing levels of accuracy once you develop your skills.
There's an entertaining thread about the much-maligned round column mills over on the HSM board that pretty much tells that story.
Cheers,
BW
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