Heres whats up:

Audio is AC3
I am using Cucusoft AVI to VCD DVD MPEG Converter Pro to convert from AVI to Mpeg. I have audio after this process. I am using DVD lab to compile. Once these files are converted to VOB, there is no audio. What am I doing wrong ??

Any Ideas ??

I had the same problem in that DVD Lab would recognise the .ac3 file but once burnt there would be no audio.

It would appear the software you are using is not creating a fully DVD compliant ac3 file.

If you still have the original file use the program ffmpeg which will convert to DVD Compliant AC3.

Alternatively email me and i will give you a link to a guide for converting AVI to DVD that is superb, cant post the link here.