.wav
You might as well as it's not but 1/3rd bigger.
That will leave only the ipod's DAC to ruin the sound quality...
I have tried the same song on CD, wav (which is a bit for bit copy of the CD), Apple lossless, AAC and 320, 256, and 192 kbps MP3.
CD in the CD player is best.
Wav on ipod is very good, but still distinguishable from the CD. The ipod dac is just not very good, I think it is a 1 bit DAC. it is no 24 bit Burr-Brown! Sounds like Jethro Tull's 'Aqualung' instead of Abbey Road.
Apple lossless/ AAC are a toss up. They are both good, but much worse than the CD, and considerable worse than the wav. If IPod'ing I suggest apple lossless.
Unsuited for critical listening, but fine for average headphones and use in high noise environments like automobiles in motion.
When critically listening, sounds empty/ hollow...like a very badly produced record, Like one of those $5 compilation cds made from unremastered analog tapes. Or a store bought tape.
320 mp3 is a factor again worse, but still listenable as long as the song isn;t overly complex and doesn;t include any serious lows or highs. About like a store bought tape in a mediocre deck to make an analogy. OR FM radio when they had actual CDs to play instead of 256 mp3
256 and 192 make me long for mix tapes.