DVD Catalyst will give you the correct bitrate setting automatically when you choose the H/PC settings.
(It'll set it to 64 Kbps, though 128 may work as well. Generally WMP can handle 32, 64, 96, or 128 Kbps.
)
Patrick brings up another point: there are several alternative MP3 players for H/PC 2000. GSPlayer and WinamPAQ also have H/PC 2000 versions, and both are free as well.