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Choose import settings in iTunes on PC - Apple Support
https://support.apple.com/guide/itunes/choose-import-settings-itns2965/windows
In the iTunes app on your PC, choose Edit > Preferences, click General, then click Import Settings. Choose MP3 Encoder from the Import Using pop-up menu. Choose Custom from the Setting pop-up menu. Select the settings available for your encoding format:
what is the best format for itunes music … - Apple Community
https://discussions.apple.com/thread/1681736
As for your situation, music purchased from iTunes is, at best, 256K AAC. Fine for ear buds, but probably not suitable for playback over a proper stereo system. And if you have left iTunes at its default settings, you are using 128K AAC for rips from your CD's.
Convert music file formats in iTunes on PC - Apple Support
https://support.apple.com/guide/itunes/convert-music-file-formats-itns2972/windows
Convert music file formats in iTunes on PC. You can convert a song to a different file format (and keep a copy of the original). For example, you can save a copy of a compressed song file such as MP3 or AAC in an uncompressed song format (AIFF or WAV).. When converting from a compressed to uncompressed file format (for example, from MP3 to AIFF), you shouldn’t …
An Overview of Audio File Formats Supported By iTunes
https://kirkville.com/an-overview-of-audio-file-formats-supported-by-itunes/
You can see them by choosing iTunes > Preferences, clicking the General tab, then clicking Import Settings. AAC Encoder: This default choice compresses files in AAC (Advanced Audio Coding) format. AAC is not, as many people think, a proprietary format created by Apple. It is part of the MP4 standard and can be used by any hardware or software.
The complete guide to using iTunes with lossless audio
https://www.macworld.com/article/227769/the-complete-guide-to-using-itunes-with-lossless-audio.html
Apple Lossless is a lossless format, which retains the full quality of the uncompressed audio, yet uses much less space; generally about 40 to 60 percent less than WAV or AIFF files. AAC and MP3...
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