You can use software to create an iTunes compatible podcast. The software will automatically encode the podcast feed for you. I would suggest FeedForAll, there is a free download at http://www.feedforall.com (there is both a Windows and a Mac version).

There is a tutorial that will walk you through setting up an iTunes compatible podcast - http://www.feedforall.com/itunes-tutorials.htm

Another website that contains a lot of information on creating and managing podcasts can be found at Podcasting Tools http://www.podcasting-tools.com check out their articles section and you will likely find answers to all your questions!
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