Using Final Cut Pro requires that you set the program to match the source from which you will be digitizing your footage. These are your Capture Settings. You can mix footage from several different sources in one project, but you must change your Capture Settings each time.
Before capturing footage Make sure that you Setup your Project Appropriately by following the steps detailed in the tutorial: Setting up a Project in Final Cut Pro
To set the device control presets, go up to Final Cut Pro and choose Audio/Video Settings

From there, follow either option below to achieve the setting needed for your desired media.
A. For MiniDV:
1. Device Control Preset: Change the pull down menu to FireWire NTSC or FireWire NTSC Basic from the Device Control.

This setting will allow you to log and capture and capture directly. You will have full control of your DV device from Final Cut Pro HD’s Capture window.
2. Click OK to save changes.
Adding Video Effects
There are a variety of effects that can be added to a movie. Effects can add many different visual changes to your movie, from emphasizing a certain color to adding motion blur to creating mosaic imagery. Experiment with all of the varieties to see which effect best suits your project. To add an effect, follow the steps below.
1. Select the video to which you will be applying the effect.

2. Click the Editing button in the Editing Effects Menu.

3. Go to “Editing” in the Editing Effects Menu. Choose Video FX.

4. Select a video effect in the Video FX pane.

5. Adjust the effect using the different sliders in the Effects pane.

Note: Not every effect has multiple control sliders.
BEFORE
Always Setup your project in Final Cut Pro by using this Tutorial.
First import your footage and background (image or video to be the background) into Final Cut Pro.
Now lets bring our background down into the time line by dragging it in.

Now we want to create another video track for our other file, to do this click Sequence > Insert Tracks a dialogue box should pop up asking how many tracks and of what type. Type in the number 1 in the Video Tracks and click OK

This bottom track will be the background of your video, you can use still images or movies as a background. You should now have two video Tracks that look like this.

Now we want to add our green screen clip to the top Video track, the reason we want it on top of the other clip is because Final Cut Pro works in layers, the top most track is always the displayed or top layer.
The Digital Commons editing workstations delete all of the projects which have been saved to them every night when the system updates. It is absolutely necessary that you save your work somewhere other than the hard drive of the editing machine once you intend to leave the Digital Commons. This tutorial will cover your various options for saving your projects. It is important to remember that you need to save both your finished file (.m4v or .mp3 for podcasts, .mov for movies) and the project file (iMovie file or Garageband file) so that you can make any changes later to the project file. If you save only the finished file and not the project file you will lose the ability to remove effects/transitions or edit just a single track.
Option 1: Save to the Digital Commons Storage Server
Please visit The storage server tutorial for more information
Option 2: Bring your own external Hard Drive:
iDVD 7.0 is the standard DVD authoring program on all PSU Macs as of Fall 2008. The interface has changed slightly from previous versions and the media browser is better integrated to work with iPhoto, iTunes, and iMovie. This document will assist you with using iDVD 7.0 to author your edited movie to a DVD playable on any DVD player or computer with a DVD drive.
iDVD 7.0 Menu Workspace Interface
This is the workspace for the DVD Menu. You will do all your authoring, customizing, and testing via this interface
MENU WORKSPACE: This is where you edit and customize your DVD menu.
DROP ZONE: Pictures or Video added to a Drop Zone will customize your menu.
ADD BUTTON: Press to add buttons for movies, submenus, or slideshows.
MAP VIEW BUTTON: This button will display the map of your menu items and chapter divisions of your movie.