I completely understand. The point I'm attempting to make is that answering "yes" to the question was knowingly misleading. Just because Dial Dictate has an option to use MP3 compression when saving a wav file, it in no way makes the file anything other than a wav file. The question wasn't will it save an MP3 compressed wav file, it was will it save "MP3 files" which means an MP3 encoded audio file with a ".mp3" extension and I can't imagine how it could have been interpreted any other way.
That said, I do want to say that I am in no way unhappy with Dial Dictate and what it does. I lost time because I thought I did something it didn't but other than the MP3 issue, which is only an issue because I have to play the files over the web using a custom player built in Flash, it does everything I need.