Hello, RSSinMS!
The problem doesn't really rest with the Power Director software - any version. It rests with your camera! Most cameras have an inbuilt microphone(stereo models have the paired microphones) sitting just under the lens. But a peculiar thing I've noticed in several models, both tape-based and SD Card-based, is that they always seem to pick up the sound from behind the camera better than what's in front of it.
That can be annoying! Some older monaural Video-8 cameras have a socket to plug in an external microphone but, outside professional equipment, I'm yet to see any hobbyist cameras with this facility. A good stereo microphone that gives reasonable separation(left & right channel pick-up) that can plug into a socket on an SD card-based hobbyist camera would certainly come in handy. The fact that, barring the professional gear, cam-corders in general use don't have this socket for external microphones, sort of puts paid to Carl's suggestion of a wireless microphone as you would still have the problem of how or where to connect the microphone's receiver to the camera.
Cheers!
Neil.