I know its possible, its one of the supported files. I have made dvds from Avi's in the past on my Windows XP. I had same problem on XP but somehow it started to work. But now on Vista I cant get it to work at all.

You probably need the DivX codecs to acquire the avi files.

Check using gspot to see what codecs may be missing

http://www.headbands.com/gspot/download.html

Exactly what type of avi files are these.....dvix/xvid? Do you have the correct codec for them? Gspot will tell you what codecs are needed for your video files as well as if you have the proper codecs on your system to play them.
Also, will the file play in Windows Media Player?

Yes it plays on WMP

Edit: Its XviD and Gspot not telling me anything. it just says 2 compatible codecs installed for both audio and video

Unless im not looking in the right place

Did you check with gspot to see if you had the relevant codecs?

Not sure what you mean by that. The program i downloaded shows that everything is working fine. It plays fine on both divx and wmp, but just doesnt let me open it on roxio to burn it

Bump

Try removing the xvid codec and reinstall it. There might be a conflict. Use this codec when reinstalling.

It didn't work :/

Try this patch, reboot and see if that works. It's a patch that sometimes fixes codec problems.

yea that didn't work either

bump for anymore tips

Can't say much other than maybe remove all the codecs and put them back one at a time. There might be a conflict of some kind and removing and reinstalling the codecs could correct this.