Video is zoomed in when i create a new movie.

New iMac user.  Trying to work in iMovie.  Dumped video in and have it linbed up in "Events."  When I try to create a new Project, I can't.  It does not even give me the option.  The only option I have is to create a new Movie.  When I do that, the video seems "zoomed in" or pushed forward a bit, cutting off the bottom part of the video once moved into the edit space.
Would love some guidance on how to stop this or to help me understand what it is I have done wrong.
Thanks for any light you can shed.
Forgyman

New Movie creates a new project.  If you select the project and click on "Settings" (top right over viewer window), you will see "Photos placement"  Zoom  (the default which applies the Ken Burns effect to stills).  You can change this to "Fit" (which will not crop any of the photo or video but leave black borders if necessary)  or  "Crop" (which will crop to avoid black borders).  This only acts on clips added afterwards, not ones already in the timeline which have to be corrected seperately (though you can select multiple clips and change them all by selecting "Adjust", choosing the cropping tool and changing the "Style" setting.
See: http://help.apple.com/imovie/mac/10.0/#mov26d3f6a6c   for more details.
Geoff.

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