What is the best .avi format that I should convert my .divx file to?

no converter, there is an easy way, you can try RZ DVD Creator, it can create standard video DVD from any movies, i have used it, it can directly convert and burn any videos to DVD(DVD+R,DVD-R, DVD-RW, DVD+RW, DVD-DL, DVD+DL, etc), such as avi to DVD, divx to DVD, xvid to DVD, mpeg to DVD, wmv to DVD, mpeg4 to DVD, etc.

It can burn multi videos to one disc, and can auto fit the size.

Work well on my computer, easy to use, i like it, following is a step by step guide about video DVD creation:
http://www.rzfun.com/convert-avi-to-dvd.html

Hope it can help you.

I use AVS Video Converter 6.
I convert to MPEG2, 4000kbps.
This allows me to make a VCD or DVD.

This is providing you are not worried about HD quality.

good Luck

hi
you can try use the uSeesoft Total Video Converter
it is the best video format converter which can convert video files at super fast speed and best video quality. It can convert video file between any video format such as converting AVI to DVD, WMV to AVI, WMV to MPEG, MKV to AVI, MKV to MP4, etc.
so you can free download it from here to have a try
http://www.useesoft.com/products/useesoft-total-video-converter.exe?sa=jhr
or you can visit here to find more information about it
http://www.useesoft.com/video-converters/total-video-converter.html?sa=jhr

Depends which one works on whatever device you want to play it on.
Choose that one. No point choosing one that doesn't work on your device.
DivX, Xvid is pretty standard high quality, and MPEG4 is small file size (takes less memory) and high quality. Some Windows won't play properly you have to install the proper codec for it. WMV will definitely work on most if not all Windows devices. MPEG 2 is old and produces huge files. H264 is small for small devices. MJPEG or losless one wil produce humongous files.

Suggest: try a small file first, and see which one works best on your device and use that one. See the filesize too.

H264 avi