What is the best solution to create SharePoint Extranet Application for existing windows web application ?

Hello,
At present my SharePoint farm is having following domains:
1) Internal Domain - Domain1
2) External Trusted Domain - Domain2
And Following Intranet WebApplications having Windows Mode Authentication:
1) http://mywebapp1.Domain1.com - Single site collection
2) http://mywebapp2.Domain1.com - Multiple site collections
3) http://mywebapp3.Domain1.com - Multiple site collections
Both Domain1 and Domain2 users are able to access above web applications.
Now , we have requirement to add other trusted domains Domain3 , Domain4...etc. and create Extranet Application and I have following questions :
What kind of topology and Authentication is required ?
AD as User Identity storage location is better way for all other domains since there is trust ?
Do I need to just extend all the web applications in extra net zone and create site collection for different domains to isolate security and content as per the need ?
Is there any other best solution to implement extranet application under current environment ?
what kind of other factors are important to consider in order to create extranet application ?
Your help will be highly appreciated.
Thanks and Kind Regards,
Dipti Chhatrapati

Hi Tom,
I have following information till now:
External domain will be trusted with parent domain where SharePoint is installed. 
Authentication of external domain will be Windows Authentication.
User Identity storage location will be Active Directory of external  domain.
Site to be accessed by external domain will be http://mywebapp1.Domain1.com
Now question is :
Should I assign external AD group ( Domain2ADGroups ) to SP Web Application  http://mywebapp1.Domain1.com
OR
Should I extend the application in extranet zone for external domain and then assign permission to extended
application ?
I guess , if authentication is same then no need to extend the application - correct ?
Thank you to look at this thread !
Dipti Chhatrapati

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