Hello
For smooth playback I've had to increase the caching value on several of the input modules to 3 seconds. Unfortunately this makes a couple of problems aparent.
The main issue is that VLC appears to stop playback as soon as it reads the end of a file even if there is still data in the cache to playback, so with a 3 second cache the last 3 seconds of the file won't be played. This efects DVDs as well as regular files, probably other access modules too.
The other less serious issue is with DVD menus. If you click on a menu item then it continues to play the contents of the cache before folowing the menu link. This means that with the 3 second cache, dvd menus take 3 seconds to respond to input.
So in one case it drops the contents of the file when it shouldn't and the other it plays back the contents of the cache when it should drop it... ho hum
I'm using VLC 0.8.5 on OS-X 10.4.6.
If you need more information or clarification, let me know and I'll provide what I can.
Many thanks!
Gavin