MKV to MP4 conversion software for WIN7/8? (without loss in audioquality)

[alexeliasson]

Hi!

English is not my native language, which contributes to that I sometimes prefer having subtitles on the movies that I watch(with my iPad and ATV3).

I discovered the software "wondershare video converter" wich can encode different video filetypes to mp4, and also add subtitles. However, when I do this I get a substantial loss in audioquality. Doesn't mather if I peak every option in the settings tab, there's still a GREAT loss.

Any ideas for other encoding software? Needs to do these things: avi/mkv to mp4, hardcode .srt and no substantial loss in video or audioquality.