If you are looking for a dc with full manual functions, then go for A40. If you are a point and shoot user, main purpose of having a dc is for taking family pictures, friends outing, then go for V2. V2 is more compact than A40, and it doesn't have manual functions like A40.
I used to own an A40, its a great cam, with all the manual functions and stuff, but its kinda bulky and a hastle especially with the adaptor and filters. I now own a V2, image quality is more or less equal to that of the A40, and its size is very convenient.
if you need some sample pics of the V2, you can go to this thread: http://forums.hardwarezone.com/showthread.php?s=&threadid=401401
Helped sister bought a V2 in december, bought @ 515SGD CP.
(Of course, after bargaining with the uncle using the equote, best if u use an equote before u go to CP coz at first i didnt show equote he quoted my sister 570SGD)
Think price should be much lower now?
Actually V2 has quite some modes, and of course, if u really explore its OS, there is still certain manual functions possible, just that you need to look deep inside the menu.
Although owning a V3, think that if V2 compared to A40, will take V2 if you are a point & shoot person.