OK, I figured out that the Variables need to be named without $() and without var.
Indeed, you have to define the related variables from the script in the Wizard Preprocesor page.
After doing that to all errors, I now get:
A row with this key [APPDIR\Webservice\bin] was already registered in the table.
I guess I'm better off creating a new installer from scratch?
You can create an Advanced Installer from scratch. However, we would greatly appreciate if you could send us the WIX project to support at advancedinstaller dot com
so we can investigate this.
If you have other questions, please let us know.