A real-time audio encoding is hard to implement because of its great amount of computation. KICS(KAIST Image Computing System) is under development to realize the real-time MPEG-2 encoding and decoding system utilizing the parallel architecture of multiple general purpose MVPs(Multimedia Video Processor), TMS320C80. This system employs the Dolby AC-3 audio coding algorithm. In particular, the bit allocation of AC-3 algorithm requires many computations and iterations. The bit allocation may be considered to be the core of audio compression because it enables the compression of the audio information. In this thesis, bit allocation part of AC-3 is implemented and tested using the MVP simulator. The specific features of the MVP are analyzed and the bit allocation is fully optimized to the MVP processor. The possibility of real-time system is verified and the required processor resources are determined for KICS.