Which is the best sounding...Rookie

First of all, this is my forth post. Thank you for the opportunity of becoming part of this forum. I love Jazz / Fusion music. I’m kind of new to this, so please bare with me my stupidity and ignorance. Breathing is easy, but some stranger has to slaps you on your back side at birth so you can learn how to breath. As I have understood, this forum has a lot of Oxygen.

I have installed in my RAV4 a fairly good system, Infinity 240watts. But I also am a computer enthusiastic. I love good, make that Excellent sound in my Burns. I have a very extensive collection of Cds and LPs (That is the big black records with the little whole in them for you young guys) I can do DVD and CD. I have some interesting software that can help me a great deal like

  1. AC3 Steinberg NUENDO Dolby Digital Encoder
  2. EQ32Studio GRAPHIC EQUALIZER
  3. Nero
  4. Acoustic MP3 Cd Burner
  5. MP3PRO
    among others

Which has the best sound in a car MP3 or WMA?
Can the program Dolby be used in the configuration of music, with the equalizer program?
What are the best CDs or DVD brand that I can use?
How can I refine the MP3/WMA for better quality of music?