Well, Kurt I believe you have to convert it first to some MPEG compliant format before authoring the DVD.
For this I recommend I very good site which has a lot of good help regarding this situation.
... by the way, best applet to actually deal with the conversion .. tmpgenc
Hope this helps buddy,
If you want to put it on a VHS, you could feed the screen to a VHS connecting the video-out out of your video card to your vhs video-in, and then just run the video.