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Apple created the software iTunes for use with their mp3 player, the iPod. Even if you don't have an iPod, iTunes can be very useful for organizing and playing your music. However, all the options and uses for iTunes can be very daunting for a first-time user, especially for those not extremely computer literate.
Steps

Getting iTunes
1-Make sure your sound card and drivers are updated, and that your computer meets the minimum requirements for the program. You'll need at least 256 MB of RAM and a 500 MHz processor, more if you want to use iTunes to play videos.
2-Go to the iTunes download page.
3-Uncheck both boxes (unless you want weekly emails from Apple) and click "Download iTunes llaMA- Free." You don't have to enter your email.
4-Hit "Save" on the dialog box that pops up. Save the file somewhere you will remember, such as on the desktop.
5-After it finishes downloading, install iTunes.
6-The first time you open iTunes, it will ask you if you want all the music files on your computer added to iTunes. Click "Yes" and it will add and organize all the music that is already on your computer.

Importing Music from Your Computer
1-Locate the folder containing the files you want added to your iTunes Library.
2-Open iTunes.
3-Click on "File," then "Add Folder to Library."
4-Find the folder in the browsing window that pops up, and click "OK."
5-Wait for iTunes to finish importing the files.
6-Check that only one copy is in your Library by clicking "View" then "Show Duplicates." Make sure to leave at least one copy in the duplicate view when deleting duplicates! If you delete everything in the duplicate view, you'll lose all copies of that song in your Library.

Importing Music from a CD
1-Open iTunes.
2-Put the CD in your CD drive and wait for iTunes to recognize it.
3-Click on the new icon that should have shown up in the left-hand frame. This will allow you to view and play the music on the CD.
4-Click on "Import CD" in the bottom right corner. This will take a few minutes, depending on the speed of your CD drive.

Creating a Playlist
1-Click "File" and then "New Playlist," which is the very first option under File.
Name your playlist.
2-Drag songs from your Library into your new playlist. Alternatively, you can right-click a song, roll your cursor over "Add to Playlist" and click the playlist you want to add your song to.

Creating a Smart Playlist
1-Click "File" and the "New Smart Playlist," which is the third option down.
There will be a drop down list which has a default of artist. You can make this anything you like, for example "my Rating."
2-In the next drop down list you chose the operator. The options you have will be different depending on wat you've chosen in the first drop down list, but for "My Rating" your options will be: is, is not, is greater than, is less than and is in the range of.
3-The last section is not a drop down list but a text field or a rating picker box. Here you choose what the thing you chose in the first drop down list and the operator have to comply with. For example, if you have chosen the following: My Rating is greater than 3 stars, the playlist will only add songs that are above three stars.
4-You can now add as many other rules as you like.
5-If you want to add limits to the size of your playlist then check the first box and enter what you want the playlist to be limited to and how it should select which songs to keep.
6-Press OK.
7-Name your playlist.

Using iTunes with an iPod
1-Open iTunes.
2-Plug the iPod into a USB 2.0 port on your computer. The end of the cord that goes into the computer has a picture of a three-pronged wire on it, while the iPod end has a rectangle with a line through it.
3-Wait for iTunes to recognize the iPod.
4-Click on the iPod under "Devices."
5-iTunes and iPod can automatically sync up every time you plug in an iPod, but it is easier to manually manage an iPod by clicking "Manually Manage Music" while viewing the iPod screen.
6-To add music, simply click on them and drag them to the iPod icon.
7-To delete music from your iPod in manual mode, click on "Music" under "iPod" and select the song you wish to delete. Press the delete key and click "Yes" to the dialog box that pops up.
8-To add a playlist to your iPod, you can use a previously created playlist by clicking and dragging it to the iPod icon. Use the same steps as for iTunes to create a new playlist on your iPod.

Warnings
*You can fix a frozen iPod by using the "Restore" option in iTunes, but all the music on your iPod will be deleted!

This article will give you step-by-step instructions on how to redeem an iTunes gift card.
Steps
1-Make sure you have downloaded iTunes. You can do this for free from the Apple website.
2-Create an iTunes account. This will ask you for some personal information. It is important that you enter your real information. You already have an iTunes account if you have a .Mac membership.
3-Open iTunes Then, click on iTunes Store in the pane at the left side of the screen.
4-Confirm that you are signed in as yourself. In the upper-left corner of the iTunes Shop window, verify that the button says your e-mail address.
5-In the Quick Links window in the right-hand column, click Redeem.
6-Scratch off the latex covering on the back side of the gift card.
7-In the resulting screen, enter the 16-digit code and then click Redeem.
8-Once you've successfully redeemed your gift card, the credit amount will appear next to your account name in the bottom-left corner. Each time you purchase items, iTunes will deduct funds from the credit until you run out.

Tips
*iTunes gift cards are good to use if you do not have a credit card, or if you don't want to give your credit card information to Apple. Simply purchase a gift card at a store for yourself and redeem it using the above steps.

Warnings
*Scratch off the code gently! The numbers will not be visible otherwise.
*Make sure it is your account you are crediting, not someone else's.

source:
http://www.wikihow.com/Use-an-iTunes-Gift-Card

Importing as an audiobook gives several advantages which include: bookmarking, and the ability to change the playback speed.
Steps

1-Open the iTunes preferences and under Advanced::Importing change the import mode to ACC.
2-Start iTunes and insert the first music CD. If necessary select the applicable track name list. 3-For each chapter use shift+click to select the full chapter. Then click Advanced:Join CD Tracks.
1-Repeat step 4 for each chapter on the disk.
4-Repeat steps 1-4 for each disk.
5-Create a playlist for the imported tracks and move all of the tracks for the audiobook.
6-Go to the playlist and select all, the right-click and select Get Info.
7-Clear and check the track and CD number fields.
8-Enter the proper information into the Artist, Album, and composer. Then click ok to save changes.
For each track use the get info screen to change the track name to the chapter name and number. If any of the tracks are split

Tips
import using the podcast setting because it is optimized for voice.

this article entails how to use an iTunes gift card. You will learn about where to get one and how to actually use the credits.An iTunes gift card is not like a regular gift card. You do not have to leave the safety of your home to use it. The only things you need are a computer and an iTunes gift card. The computer must have iTunes installed in it. If it is a Macintosh computer, it already has iTunes incstalled in it.
Steps

Open up iTunes and press the iTunes Store button on the Navigation bar on the left hand side of the screen.
Check on the iTunes gift card what country of iTunes it can be used on. They are not interchangeable. So, if you are on the wrong country then go to the very bottom of the store and press My store. You will then be able to pick the country of your choice.
Scroll back up the page and go to the right hand side. You will see a box and it should say, Redeem. Press that and enter your code located on the back side of your gift card.
You may need to either sign into an iTunes account or to get one. Follow the steps that come up on the screen to do that.
Once you have an account, your money will be automatically put into your account.
Buy any of the songs, videos, audiobooks, games, TV shows, or movies of your choosing.

Tips
Don't compulsively use your whole gift card in one session. Often you may regret not being able to buy a song you really enjoy because you bought a ton of songs that you barely listen to.

Warnings

Make sure that the worker at the register activates your gift card before you leave the store. iTunes cards only work when activated.
Keep in mind that there is tax on all of the songs you buy. If you don't leave a dollar or two for tax, it'll get charged to the credit card on your account.
source:
http://www.wikihow.com/Redeem-an-iTunes-Gift-Card

How is this possible? Chinese hackers managed to reverse engineer the algorithms responsible for creating iTunes voucher codes, creating fully legitimate codes that are redeemable via the iTunes store into a customer's account. The hackers have now made key generators to actually create the codes on the fly. Unfortunately for them, the codes only work in the U.S. iTunes store.
Which is why the codes are now being sold on Taobao, the largest auction site in China.
At this time, Apple hasn't made any public comments on the situation, most likely because its working on a solution to invalid the codes. Unfortunately, the codes are legitimate and are based on Apple's own algorithm for generating codes, so any attempt to alter the codes would potentially hurt all the existing cards in stores.
The cards are now starting to also appear on eBay, but for much more--around $40 for a $200 card.
What do you think of the situation? Do you feel that $0.99 is already a fair asking price for a single song and that the hackers are stepping way out of line?
Source : Tom's Hardware US