Ipod conversion for T.V use(noob), what is best setting for highest quality?

[The-One]

I just recently started converting a movies for the ipod(80gb classic, 5th gen, I think) so I can watch the movies at different locations with ease. I've tried a few different quality settings in Videora but thought I would also ask because I may learn something that would take me awhile to come across otherwise. Is MPEG4 better then H.264 or vice versa or are they equal? Is there program that does better quality work then Videora? Anything else I should know? Is this the best setting for highest quality that can be achieved? Also, just to verify, that setting makes the resolution 640x480, right?


Edit:
I meant to highlight the 2400kbops one...

Thanks So Much

 

[The-One]

No One?

 

[The-One]

No One?