I have checked phpinfo and it appears under apache2handler section in the modules uploaded.
My .htaccess looks like this:
RewriteEngine On
RewriteBase /
# Fix Apache internal dummy connections from breaking [(site_url)] cache
RewriteCond %{HTTP_USER_AGENT} ^.*internal\ dummy\ connection.*$ [NC]
RewriteRule .* - [F,L]
RewriteCond %{HTTP_HOST} .
RewriteCond %{HTTP_HOST} !^www\.spiceltd\.net [NC]
RewriteRule (.*) http://www.spiceltd.net/modx/$1 [R=301,L]
# The Friendly URLs part
RewriteCond %{REQUEST_FILENAME} !-f
RewriteCond %{REQUEST_FILENAME} !-d
RewriteRule ^(.*)$ index.php?q=$1 [L,QSA]
My installation is in the modx directory in the domain root, so I added that in the URL rewrite rule.
My site config reads
Use friendly URLs: Yes
Prefix for friendly URLs:
Suffix for friendly URLs: .html
Use friendly aliases: Yes
Use friendly alias path: Yes
Allow duplicate aliases: Yes
Automatically generate alias: Yes
