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The cheapest solution is dedicated hardware. If the kids want video and audio, an inexpensive DVD player and video screen will do it.
Of course, that isn't a 'car computer'. So, the cheapest setup I can envision is a piece of dedicated hardware (Apple TV) and video screen. That solves your multiple audio out issues, plus your multiple video issues. The price of a new video card and audio device alone adds up to nearly the cost of the ATV.
Plus, the new FrontRow allows plug-ins that are generating all kinds of cool apps and the ATV will use the Mini as a wireless server for the video and audio. The kids control their own system while you continue to use yours. Slick.
Power it with an inverter. Done.
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