I am reading the manual, the thing sucks

.. maybe it's just me lol.
This is how I have it hooked up right now:
The Kenwood receiver has 2 Svideo Inputs and one output. Monitor Out, DVD/CD and Video2. Right now I have my DVD player hooked up to the DVD/CD svideo jack, the TV hooked up to Monitor Out, and my sattelite receiver hooked up to Video2.
OOn the DVD section on the back of the kenwood receiver there is an optical input, DVD/6CH input and a Video2 input.
So your saying to hook up the digital coaxil cable from my DVD player to the Video2 jack? wouldn't that be the same Video2 that I am using for my sat receiver? Basically I am just confused about this, because I don't know what to select as the mode.. DVD/CD or Video2 .. if I select Video2 then wouldn't I be using the sat receiver instead of the DVD player for video?
Also, this cable is just for Dolby Digital and DTS right? I would still need to leave my regular RCA interconnects there for movies that didn't support either?