Really like the performance out of my Panasonic DMR E80. It has optical audio out through the digital laser cable. Current wisdom says buying a single use product is best but for my tin ear this is great.
I m looking for dvd recorder price about 200$ and digital handycamm prefarrably SONY price about 350$. The handycam should have provision for interface with PC (for editing purpose) and dvd recorder should also have provision for interface with PC so that edited video on PC can be recorded on it