I can understand your confusion. This is not a typical thing to see. Usually, only capacitors would carry that waxy coating. however, in this case, those are resistors. You can see it in the schematic as well as just figure it out by looking at what the mode selector that they are attached to does. it changes the resistance!
@ Caleb - Why wax sleeves over the resistors? Might this be intended as an indication of overheating if a user applies a higher-than-rated voltage, or any voltage with the function switch set to "ohms"?
@ molear - looking at the schematic and parts list these are 1% resistors, there are only 3 wax paper caps listed.
The parts in waxed paper are NOT resistors. Those would be capacitors, and I would be very careful using that device. The old paper and wax capacitors can go bad. I've had one explode and blast scraps of burning paper around the room.
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