Originally, my preference was to purchase an entry level Canon or Nikon DSLR with video shooting/editing capabilities, but couldn't find one in my price range. Should I instead be looking at premium point and shoot camera with this functionality? Thanks for any suggestions you may have.
I suggest you take a good look at the new Canon G11 digital camera.
Canon has improved the low light/high-ISO noise situation.
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Frankly I would not task the camera with the edit. In fact it's probably heresy to write this but maybe you should make it mildly difficult to delete an image. To explain why would take too long.
But editing it is likely best done on the PC, Apple or even those self service photo printer kiosks.
Bob
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