After 2 days of working on this I think I might have finally got it. So far so good. I have downloaded 3 movies and converted them and imported them to the fuze and they are playing. This is what I did.
I downloaded avs4you the video converter. Just go to avs4you.com. You can try it for free first and that is what I did to make sure it worked. I also downloaded directx, dvd-43, ffdshow and klitecodec. Since I am not computer wizard, I am not sure that you need to download all of these but I was getting so frustrated with this that I was trying just about anything. Then what I did was first converted the dvd to avi using avs4you and just adjusting the settings. Edit profile to custom then put the width at 224 and the height at 176. I put the codec at mp3. It does take a long time but when that is done converting, I then converted it again with the sansa media converter ( if you don’t have this, you will need to download that too.) When that was done, which didn’t take long at all, I plugged my fuze in and it automatically downloaded into the fuze and it worked perfect.