Is it possible ot make DVD cam quality video look professional, like MTV music video quality..adjusting colors and ect..?

also is they any tips on lighting to use when recording?

This is more of an essay topic than a question. DVD cam quality - i.e. MPEG-II is marginally lower than standard DV AVI, but you shouldn't notice that badly. In terms on MTV music quality - what do you mean? They probably use multiple High-Def Cams at a guess, so a DVD cam is unlikely to match it, but if filmed correctly you can still make a great video. They'll also have many professionals and probably some post-prod software to enhance it after (at a guess)

For Vegas, Colours can easily be changed with the color corrector Video FX plugin and bump map can be used for some nice spotlight effects, as well as brightness/contrast.

It's always best to get good lighting in the original footage rather than in post-production, so aim for well-lit shots in general, unless you want to create a certain effect, e..g shadowy shots etc.

Thanks! a guess ill play aorund with those settings and see what i can get!