Choosing F6 from the keyboard will open the Preferences dialogue box.
This allows you to customise settings that will be applied to the editing module.
The images below show my selections with a short explanation to the ones I have changed.

The General Tab

The Working Folder ~~ a new folder can be created for each project we work on, That way files used in a particular project can be easily managed.

Clip Display Mode ~~ is set to Thumbnail Only, this shows the frames in full when viewing the timelines.

Media Library Animation ~~ I have deselected this option, seems a lot going on with all playing, besides you get a preview when you flost the mouse over.

Instant Playback Target ~~ set to Preview Window.

Background Colour ~~ this defaults to black but can be useful to use other colours, allowing us to see the actual frame size.
Remember to revert back to Black when rendering.

Display Safe Area ~~ Most TV's suffer from what is known as "Overscan"
This loses some video detail around the edges of the screen, keeping your titles within the safe area helps overcome these problems.
Your PC monitor does not suffer from "Overscan", the editing looks ok till we view on the TV, and that may be to late........

The Edit Tab

Apply Colour Filter ~~ should remain selected.

Re-sampling Quality ~~ I usually set this to Best

Use Fit-to-Screen ~~ The overlay tracks can cause some problems resizing in proportion, I dont find this option helps, so deselected.

Default Photo duration ~~ I use 10 seconds, seems to work ok when creating slide shows. All images inserted to the timeline will use this duration. Just personal preference.

Keep Aspect Ratio ~~ Is referring to Images and should be used.

Apply anti-flickering filter ~~ Hmmm has been known to cause some quality issues when applying Pan & Zoom, normally set but maybe worth remembering if you have image quality issues, try both settings.

Audio Fade ~~ default is 1 second, not really long enough to recognise a fade I use 3 seconds.

Transition Duration ~~ is also set to 3 seconds

Automatically add transition is de-selected but easily changed depending on the type of editing I am doing.

The Capture tab

This tab is mainly referring to DV type capture, most of the settings being left as default.

Snapshot Format ~~ I select Jpeg with 100 quality.
De-Interlace for Snapshots selected as default.

The Performance tab

Smart Proxy ~~ editing High Definition Video, AVCHD video can be very demanding on the pc's resources, this may show as slow or jerky timeline playback, Video Studio overcomes this by creating proxy files.
They do take a while to create so be patient.
I would advise that you try without using proxy and only use if you have problems. (Auto generate recommended)

You can access the Smart Proxy Manager from the Settings menu bar allowing you to control the files. They can be quite large.
Please note that proxy files do not improve render times, not that I know of anyway.

Enable Hardware Acceleration

User Interface Layout

Allows you to view the customised workstation layout, its not the most intuitive panel I have seen.
The Custom options become available after you have saved them.
This panel is for applying a saved layout, we cannot save a layout from here.

From the Settings menu Layout Settings view the save options and keyboard shortcuts.

Remember F7 will reset to default layout