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Best way to convert .m2t to Apple TV using handbrake

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I have extracted all my HD home movies into .m2t format and now I like to convert them to a format that Apple TV can playback. The only criteria in this conversion is quality should be high. I tried Handbrake (on MAC) and chose the High Profile setting (I assumed it will give me the best quality). The files which are .m4v play fine on Apple TV but I there are some questions:
This process produces about 6gb per hour of Video. So 12gb per hour converts to 6gb per hour. Does it sound right?

Picture setting on Handbrake says the following:
Source 1440x1080, Output: 1440x1080, Anamorphic: 1920x1080 Loose, Modulus: 2, Crop: Auto 0/0/0/0
Picture filters: Decomb (Default)
Framerate is set to "Same as Source" & Variable Framerate is checked.
Video Quality is "Constant quality RF:20

I addition this process takes about 3-4 hours per hour of video (on a high end Mac Book with SSD and with 8 GB memory). Does this also sound normal. I am a bit novice when it comes to details of video attributes.

I will not be doing much editing but If I wanted to edit the footage at which step should I do that?
I really appreciate your help.

NR

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