Hi
I have done this as a challenge a couple of times times with the orchestra I play with, but used two cameras during one performance. One camera was fixed filming the whole scene and recording the sound, the other was roving, picking out various players in close up/different angles etc. and making cutaway shots. Obviously there are limitations as sound recorded like this was is not particularly good but if you can record your session with a proper setup as a separate recording all the better.
The fun part was editing.
Put the main video on the sequence track (video track 1)with the total recording and then drop the cutaways onto the overlay track (video track 2) and adjust them until their sound tracks play together with no echo. Now mute the overlay track.
As you can trim the overlay tracks to whatever length you like (depending on the shot length), dissolves can easily be made between the two tracks using the transparency effect.
Unfortunately you can't use other transitions as they won't work between video tracks. As I made these some time ago with an earlier version of VP, there may be some enhancements that you can use with 3.58.
"Splicing" your cutaways into the main sequence would be quite difficult.
If you are using a single camcorder you would need to film the whole performance at least twice, once for the recording, and the other for the cutaways. This would create what you would get with two cameras. You can't do what you want easily, if at all with one camera and one performance, even with a separately recorded sound track, as you need video for the whole duration.
Nat