Reaper will grab a track straight off the CD.
Pop a CD into your computer. Open up Reaper, then go Insert/Media File (or simply hit the "Insert" key), navigate to the CD and click on the audio tracks you want.
Insert a picture on a new track as Steen says.
You will have to go View/Video Window to watch the video (and there won't be much to watch seeing as you are using a still).
When you are done, you can render a video through File/Render. There are a variety of video rendering options there in the Output Format drop-down menu