Audio in Unity is managed according to the same easy philosophy that is applied to importing and managing graphics. The most common audio formats such as MPEG, WAV, AIFF, and MP3 are supported, and once imported, audio clips can be easily configured in the Inspector panel.
With regard to the file format, the general rule is to use large WAV files for background music and small MP3 files for sound effects.
The compression setting is the other basic configuration of an audio clip in Unity, as Unity allows audio clips to be set as Native or Compressed. By setting a clip as Native, we ensure that the clip won't need to be decoded at runtime. The file will be larger, but it sounds nicer and won't slow down the application once it gets played. The native setting is recommended for short sound effects that are usually imported as MP3 files, and thus not recompressed once they get imported in Unity.
Setting a clip as Compressed results in a smaller project file, but that file...