No I do understand that the adjustment is occuring at the same time as the action. I understand that the reason we're having this discussion is that it's an artifact of using segmented "rounds" to simulate real time.
So do you, in the case of a sorcerer spontaneously casting a metamagiced spell, actually make him move before determining damage, etc? The mentality of 3E has been to do things as it happens (that's why no declaring actions before your initiative count, you just do what you want - you don't even have to declare Full Round Attacks until your second attack). Based on that, my example with the sorcerer being hit before casting a spell (even though the spell was already cast) is a valid one. I am sure that you might say to wait until the caster has finished all his actions before resolving spells, etc, but if you do that would you allow a spellcaster to cast a fireball spell and then move into the area of effect suffering damage from the fireball and AoO from the kobolds that the fireball will kill once the damage is rolled? Obviously you wouldn't.
Anyway, all of this is just to point out how MY mind sees combat rounds working. Thus, for my game (and Daniel too) I like to use this house rule and that it really doesn't come up so often that it "screws" readied actions.
As with any house rule, YMMV, but I like it because it "fits" better for me. That's all. I was just responding to those that think it messes up readied actions. I've been using it for a couple of months now and no one complained the ONE time it came up.
IceBear