In the Sections & Passages tab, click 
(More) in the Extras column for the passage you will work with. Alternatively, open a step that uses a Record tool.
Click 
(Launch Audacity).
To open this dialog box:
In the Sections & Passages tab, click (More) in the Extras column for the passage you will work with. Alternatively, open a step that uses a Record tool.
Click (Launch Audacity).
You might see any of these buttons when you use this dialog box:
Click Open to open an existing Audacity project.
After the project opens in Audacity, use Import on the File menu to import the audio file into Audacity.
Click the Speaker box and then type the name of the speaker. Provide rights if necessary. Then click Import to import an audio file from Audacity.
Click Create to create a new Audacity project. Then you can record a new audio file in Audacity. Alternatively, click Create to import into a new Audacity project an audio that you recorded with Audio Project Manager Record/Edit Audio dialog box or somewhere else, but not in Audacity.
Click Browse to search for an existing Audacity project that has not been linked with Audio Project Manager Desktop yet.
You need to use Import to bring audio files into Audio Project Manager Desktop from Audacity. Until then, they are only on the local computer.
When you close the Audacity Manager dialog box, you are no longer managing the connection to that Audacity instance. But that Audacity instance has control of the Audacity project for that passage. So you have to close Audacity and let the Audacity Manager dialog box open it again if you want to re-establish communication between Audio Project Manager and Audacity about that Audacity project.
Audio files you record with Audio Project Manager tools are usually saved as *.wav files. Audacity exports *.mp3 files.
Compared to WAV files, MP3 files are generally smaller and load more quickly. But, they have less audio quality because they are lossy.
The Audacity project itself will contain the full audio quality. It can be edited over and over without reducing its quality. Each time you import it into Audio Project Manager, a new *.mp3 representation of the audio file is created. So if you edit an audio file in Audacity and import it, you have another version.
You see the version number and file type (*.wav, *.mp3 or other) in the Versions dialog box.
Currently Audacity will read *.ogg format if you follow the steps in Audacity to install the ffmpeg plugin:
https://manual.audacityteam.org/man/installing_ffmpeg_for_windows.html