thanks for all your help so far - I've now manged to get the audio working in windows movie maker 2 and have now created a "not so" professional movie from my old 8mm analogue camcorder.

It is saved as a .wmv file and want to create an mpeg2 file that I can burn onto a DVD -R which can be viewed on most players.

Any suggestions for the easiest package to use?

Should I be bothering to use mpeg2 for 8mm analogue footage?
Even if its not woth it for 8mm- I now have a digital camcorder which I will eventually make movies from so a good wmv-mpeg2 conversion process would be handy to know

PS I'm using XP Home on a pretty decent PC