A system and method for generating virtual microphone signals having a particular number and configuration for channel playback from an intermediate set of signals that were recorded in an initial format that is different from the channel playback format. In one embodiment, an initial set of intermediate are Bark-banded such that each intermediate signal may lead to a corresponding power spectral density (PSD) signal representative of the initial intermediate signal. Further, one may generate cross-correlations signals for each pair of intermediate signals. Next, from the PSDs and cross correlations, one may more efficiently calculate corresponding channel signals to be used for playback on respective channel speakers. Thus, the PSDs of each channel signal may be generated at chosen angles (as well as other design factors). Further, each channel signal may also be further modified with a corresponding cancellation signal that further enhances the resultant signal in each channel.