cap4000,
Coloradobridges' formula in his original post above is not excatly written as it shows in AASHTO's Figure 5.6.2A.b. Coloradobridges showed a division sign between (1+ tanB) and (D+2^.5*b). AASHTO does not. Therefore, if AASHTO is correct, the term stays in the denominator where it was typed. I still feel that my original post, paragraph 2, is probably what AASHTO means but did not write. Unfortunately, we may never know for sure. Meanwhile, hundreds of consulting engineers and DOT engineers are using the formula blindly.
Also, I have yet to see a DOT highway project where any significant rock testing was performed. The testing information you would like to plot is just not available or done for most projects. Sometimes, we may be given "the" unconfined shear strength of the rock but never a series of plottable points.
With respect to the diagram not "being in equilibrium" consider the following. The diagram is solved for moment or overturning equilibrium. That is how the initial, minimum embedment depth is determined for the cantilevered sheeting wall. However, some engineers feel compelled to also sum the forces in the x direction. When this is done, the available passive resistance will always be greater than the driving pressures (active, surcharge, water, etc.). Then, because the available passive resistance is greater, engineers try to increase the embedment depth to try to add more active in an effort to get equilibrium in the x direction. But consider this - the passive resistance can not push back the wall or else the passive side would become the driving force and the active side would then have to provide the passive resistance. This just can't happen. The passive resistance is just that - a resistance that hopefully builds up to the level needed for moment equilibrium. It will not become large enough to push back a sheeting wall which has more dirt behind than in front.
In the overturning calculation, the moment arm for the passive resistance is always going to be shorter than the moment arm for the driving forces. At moment equilibrium, therefore the passive resistance has to be greater than the driving forces. Therefore, there will be a fairly good safety factor against sliding toward the excavation.
It is my humble opinion that engineers who increase the pile embedment to achieve x direction force equilibrium for cantilevered sheeting walls are playing number games and not seeing the bigger picture.