Advice for compressing

I want to take DV NTSC video and export it for DVD SP. The video is basically a series of interviews, with no music, just voice narration. There will be many of these interviews, so I want to fit the maximum amount of video on each DVD because I will ultimately have hours and hours of it.
1. Is the encoder in FCP sufficient enough to compress this or should I still take it into Compressor?
2. Will importing it as a reference file instead of a self-contained movie into DVD SP make the final DVD file smaller?
3. Is there any reason to compress audio as AC3, being that it is voice narration?
Thank you.

1. Is the encoder in FCP sufficient enough to compress this or should I still take it into Compressor?
It is the same encoding engine, but going out self contained gives you more control. I would export self contained, and choose AC3/Dolby2 audio regardless because it permits more video minutes to be contained on each DVD. Aiff uncompressed audio occupies seven times more disc space than AC3.

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