They might have watched the VHS version but used DVD version during editing. I don't think this is the first time they have used different version for editing purposes either. There was even a joke in this episode about how they might have to use DVD version for one of the movies due to bad tracking on the VHS.
If they have the DVD, it makes it a lot easier to edit into the episode.
Not that they always have the DVD on hand. There's an episode of BotW where they were going to watch some movie (can't recall it's name, had the name "Love" in it) but it got stuck and wouldn't eject out of their VCR. They switched out the movie for something else.