TMPGenc: Best Settings for VHS/8mm Scenarios?

[chetnet]

Hi all! Have read so much here and want to get confirmation on my ever-changing direction, not to mention any other hints as to the best TMPGEnc settings to maximize quality(1st) and space (2nd) for my 3 scenarios. My basic process for all 3 would be this:
1. Capture to AVI File
2. Edit/clip with Arcsoft's Showbiz, save as AVI
3. Use TMPGEnc
4. Author and burn with Sonic MyDVD

Scenario A: VHS Source
a. capture avi using wintv usb (avi not bad looking at all)
b. quality of audio is not critical (ie. can I double movie amount with non-pcm?)
c. Sonic MyDVD must merge the TMPGEnc video and audio, right?
(this was seemless but MyDVD Preview is bad, but I hear that's
a common problem)

Scenario B: 8mm analog from old Sony
a. capture avi using firewire

Scenario C: Digital 8 from Sony Digital
a. capture avi using firewire
b. filmed in both 4:3 and 16:9 so they will be seperate
c. have 16:9 tv to display 16:9 accordingly, fyi

Thanks,
Chet

PS. I have burned one DVD from VHS, using the MyDVD to encode from avi. The video is 'acceptable' for such an old home movie, but I'm hoping TMPGEnc will do a better job. I have not watched the whole DVD yet, however, to see if there are audio sync problems.

PSS. I have printed and reviewed TMPGEnc guides

[MPS]

so what exactly is your question?