Applications :: Making DVD - File Too Big (Encoder Settings)

I'm trying to make some DVDs using iDVD. I want to play The Dark Knight and Benders Big Game at other locations. Anyways, I'm trying to make separate discs, not one disc for both movies. When I try to drag the file to iDVD, it says that the file is too big and to play with encoder settings. The encoder settings are already at best performance. In Finder, the file is 808MB, yet iDVD claims it is 8.08GB. I know for a fact that the file is 808mb, not 8.08GB. The file was .avi, so I converted it to .divx, and this still didn't fix it. I also tried the other movie which is .mp4, and I had the same problem.