Ozfly pretty much has great advice. I have heard RCA's sound just as good as XLR in any given set up. One place I hear a nice improvement is in a longer run of cable from my pre amp to amp. I found balanced did 3 things better in my set up. It lowered the niose floor adding to dynamics, increased the bass response and gave a wider soundstage. Enjoy!
Check with your manufacturer, some that I know of say that their component is designed to run either balanced or singled ended better than the other, but offer both ways for connection. Musical Fidelity for one beileves that their components sound best with singled ended, and thus, don't offer balanced outputs, or inputs.
Also depends if your living environment has alot of RF noise. Balanced filters all of that out. If you live out in the country, it doesn't matter. If you live in the heart of Manhattan, you may see some benefit.
I have heared many times that RCA out of a CD Player sounds much better than XLR. I think you should try yours out and see if it does or not. Note: I use all XLR
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