Temp Directory: To save the temporary files during ripping. You can specify the directory to save them. If you select "On the fly Encoding" in Encoder Panel, it will no generate temp files.

ID3 Tag Version: ID3 tag is used in MP3 files which records MP3 file information. The advantage of ID3 V2 over V1.0 is that the track/artist/comment fields are not limited to 30 characters, and additional tags have been defined.

Track Number Format: You can specify track number format written to the ID3V2 track field.
N - track number only
N / TN - track number / Total tracks
0N - track number with leading zero
0 N / 0 TN - track number / Total tracks both with leading zero

Tag comment field: All tag formats including ID3, APE, Ogg Vorbis tags do support a comment field. You can write down it here.

Encoded-by field: You can dedicate your name or handle into the "Encoded-by" field. ID3-V2, APE, Ogg Vorbis tags support this field, but ID3-V1 doesn¡¯t support it.

Normalize Volume: If you want to make the volume level the same for all the tracks on the CD, you can check "Normalize". The upper and lower boundaries, as well as the normalization values, can be specified in the four edit boxes. The values are in percentages.
Note: This option only works when the "On The Fly MP3 encoding" option is disabled.

Automatic shutdown after ripping / encoding:
If checked, the computer will shut down after the ripping and encoding process has been completed.

Digital CD Playback: Playback CDs digitally, that means you can playback CDs even when there is no direct connection between your CD-ROM and your sound card.