Okay, Burning the bin and cue files don't work for me either. All that I do is put the files in the iso compilation and hit burn. The files are MPLAYER.ELF, CDVD.IRX, SYSTEM and the avi movie file. The movie can be in a directory if you want. As far as the settings for nero this is what I use.
File/Directory name length: ISO Level 2 (Max 31 characters)
Format: Mode 2/ XA
Character Set: ISO 9660
Also Joliet checked. I have got this to successfully work on cd-r's but not DVD'RS. Hope this helps.