mp3 encoded at 192KBS is sexy enough for me. it is the best compromise in terms of size of file and quality. Flac is overkill unless you do pro shit with it
Hearing things that aren't there tend to get some people locked up with funny jackets, be careful where you tread. I'm talking about encoding both LAME and Fraunhofer, and unless you specifically tell it to not obliterate the stuff above 16kHz it's permanently making your top go away. I'm not talking about stuff I've downloaded,
I have considered ear surgery for other things, but it would be to try and eliminate the absurd highs (who really needs to hear lights... seriously?) because they tend to be very troubling. My computer is set up for mixing and I frequently borrow expensive monitors so that I can decide what I want to buy, and seeing as how the mid-range ones cost as much per individual speaker as your whole Z-5500 setup does I doubt you'd be justified in expecting gear envy. The difference is there, deal with it.
And don't fuck with Mormons - they have special fancy super magical underwear, and they can fly.