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Unfortunately all iTunes music files are AAC format - which is Apple's own DRM solution. This means they'll only play on the machine registered to that iTunes library (so your PC) or on the iPod that's registered on the same computer.
It's a real pain - and the main reason why I don't use iTunes (even though I have an iPod and a Mini, I like to be able to choose which of my devices I want to listen to music I've paid for on).
There are ways around the DRM - you'll need to google for them as it would be inapropriate for me to discuss them on this forum. Good luck.
Mark.
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