The last chip panel of the Chip Editor Tool manages audio for your game.
While these two chips are independent of each other, the music chip depends on some of the sound chips settings. The channel value dictates how many active sounds can be played at once. The music chip can have a maximum of 4 tracks, but if the number of channels is lower, it will cap this value.
Also, it is important to note that if you play a sound effect on the same channel that a loop is using for its track, the new sound will be played instead. If you want to have a dedicated channel just for sound effects, set the channels to 5 and play sound effects on the 5th channel, so it does not interfere with any music being played.
Finally, each channel can have its own dedicated way type. You can assign these in the Channels panel by cycling through each channel ID and picking the wave type you want. There are 6 options: all, square, saw, noise, triangle, wav.
When you assign a wave type to a channel, any sound that is played will override the sound effect’s wave type. When setting a channel to "all" will use the sound effect’s default wave type. Setting a channel to wav will enable sample mode. This allows you to play a .wav file from the game folder. Wav files need to match the name of the sound effect. You can learn more about this feature in the Sound Tool’s documentation.