Can Apple TV handle multiple devices

I have a B&O music/TV system throughout the house and I have been told that if I connect an Apple TV to the main hub I will be able to access our digital media in any room.   My wife and kids all have wifi enabled Apple devices and have their own libraries, but shre the same apple account i.e. everyone sees everyone under home sharing. If the Apple TV and al lthese devices are registered on our wireless network can any of the devices stream their own content to the Apple TV?  If so how does the Aplle TV decide if more than one device is trying to stream to it simulataneously?
Does the streaming work by just installing the remote app on each device?
Thanks for any advice before I take the plunge
Mike

Basically AppleTV can only perform Home Sharing with one account, but if you have several computers setup for itunes using that account, they can all stream to AppleTV.
So for example, I have Macbook, Mac mini, MacPro each with slightly different libraries in iTunes all registered to the same iTunes ID, and each computer is accessible separately in the AppleTV menus.
Similarly any iDevices you have set up for home sharing with that account can use AppleTv as an Airport output destination, or alternatively you can use the remote app on any iDevice to control any registered local itunes library - you can either stream from the iDevice to AppleTV or control a computer setup for use by the iDevice's remote app.
This will work fine for a TV connected to AppleTV 2 via HDMI - whether or not it will distribute to the B&O system over HDMI I do not know, but it probably will if it's HDMI and HDCP compliant.
You will not however be able to watch different things in different rooms from one AppleTV 2.

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