Bit rate & format AAC or MP3)?

I am about to purchase about 200 1960's & 1970's rock songs from iTunes. This will be my first purchases:
1. I notice that the bit rate that is auto selected for me is 128. It looks like I can change this. Which bit rate should I choice to get the best sound? Am I allowed to pick, for example, 160, 192, 224, 256, etc.? Are the only considerations quality of sound and storage size? Or for rock music, is 128 as good as I need?
2. I see that there are at least two formats, AAC & MP3. Can I purchase my songs in MP3 format in case I ever want to play them outside of iTunes or do I have to buy them via AAC?
I have a MacBook Pro with iTunes and a Treo 680 with pTunes (which I have rarely used to listen to music). At some point in the next few months, I will probably replace my Treo with an iPhone.

The additional hard drive space is negligible compared with the enhanced sound quality (hard for some people to hear) and the non-DRMness. It's totally worth it to get the iTunes Plus version, since you can do whatever you want to with that song file (your personal info is stored in the file, so if you distribute it you will be found out!). That means you can burn it however many times you want, play it with any media player program and, of course, load it onto non-ipod mp3 players.

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    When I got my Mac in late March, and commenced w/ the importing, I knew nothing of bit rates. Don't know much more now.,.,...but a friend recently pointed out the rate of 128 being lossy.
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    ==oY!==
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    Is 128 in ACC actually inferior ?
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  • Bit Rate AAC Issues

    I have been having some issues / confusion : First off I'm not sure if my settings are set right or not. I am importing with the AAC Encoder set to custom.
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    Sorry, I found a past thread related to this issue. No Need to reply

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