Thanks, and yes, the TV is 720p capable.
A question for you that will really showcase my lack of a/v technology:
when you say I'll need a separate connection for audio, what specifically do you mean? As you know, the Roku doesn't have (to my knowledge) audio outputs on its box, so I'm guessing you mean that the audio-out from my tv should be going into an amp (receiver), which it is.
I can currently watch DVD movies on this TV, using, as mentioned, the receiver for my 5.1 sound.