Angelo,
I too am no expert. Have you looked at the PocketMVP help file?
My interpertation of #4 and #5:
4 - The Axim is only capable of so much. The beauty of Virtualdub and PocketMVP is the ability to adjust your audio/video settings to your personal preference -
within reason!
5 - I've read reports of various gains/losses when using the MANY filters available with Vdub. A look through Nicky's pages will be worth your time.
Nicky's Digital Guides
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What are the consequences for choosing bitrates that are too high? Is it just a matter of file size? Or will it not play smoothly, if at all?
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Ah, you will probably become very familiar with the reset button on your Axim when tweaking your video files...:)