I have updated my capping tut0rials Setup page with my recent improvements/changes, most notably added an easy way to make MKVs, and added a note about Step 4 becoming unnecessary for Windows 7 (at least for mine).
Had to figure out a problem I was having capping a video file with VC-1 (codec) in wmv container – it was all pixelated in VirtualDub. Solution: use gdsmux (comes with Haali) to remux to mkv. Might work for other codecs than VC-1 too. Added this tip to the tutorial page.