Compression rate advice

I need to export a compressed file from FCP, that runs at just over 1hr, to iDVD via iMOVIE. (I haven't got my head around DVD Studio Pro yet!) What is the advised compression rate for this transfer? I usually use DVD PAL but it's too big and requires a dual-layer disc. I'm sure there is a different, more popular, choice of compression that I can use. The files will need to be able to stand alone and be importable into iMOVIE so that I can create a an iDVD project. Any ideas?

Make a QT Movie, not self contained, then drag the
file into iDVD. You dont need to use iMovie unless
there is something in there you want that FCP doesn't
offer... (Can't think of what that might be though.)
Thansk for replying. Before I do that - will a QT movie recognise chapter markers? I want to break it down in a scene selection menu.

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