When you need WAV
Some software and devices only accept WAV: older samplers and keyboards, phone system prompts, certain DJ and broadcast tools, and speech recognition services that want uncompressed audio. Converting MP3 to WAV decodes the audio once, so further editing adds no generation loss.
The WAV file keeps the sample rate of the MP3 and is written as 16 bit PCM. Choose Mono for voice prompts to halve the file size.
Note on quality
WAV cannot restore detail that MP3 compression removed; it only stops further loss. Expect files about ten times larger than the MP3.
About MP3
MP3 is the classic compressed audio format, supported by practically every device and app.
About WAV
WAV is uncompressed audio: large files, no further quality loss and opened by every editor.