How to convert burned DVD back to digital file

A few years ago, I ripped a large number of DVD's and copied to disc. I used DVD decrypter, and then shrank the file with DVD shrink.

Now I want to get rid of all my burned DVD's and convert back to a digital file. What's the best way to get the highest quality? I copied the entire DVD, with menus, extras, etc. I only care about the movie now.

I plan on streaming through XBMC/Apple TV or Playstation 3.

If the answer is Handbrake, what settings would give me the best quality?

Thanks a lot!