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I concur with the advice given above in all respects. I have used AWP in the past, but moved away from the Windows platform. It generates a very good basic epub that can be further optimized with Sigil. Both AWP and Jutoh seem to have desrvedly high reputations and strong support.
And now a word about DRM. The publisher I work for does not employ DRM, for both practical and philosophical reasons. (e.g. people should be able to format-shift their purchased ebooks as needed. Those who are determined to break the DRM and pirate the books, will do so. etc.)
That said, if you really feel you NEED DRM, it is provided (by default IIRC) by distributors such as B&N or Amazon or Apple at no cost to you. Only if you plan on distributing DRM'ed ebooks from, say, your own website would you need to purchase the very expensive license for setting up, say, an Adobe DRM server yourself.
HTH
Albert
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