An audio processing system is provided for controlling the acoustics of a loudspeaker-room system. The loudspeaker-room system having a listening room and loudspeakers located in said listening room, and transfer functions with linear and non-linear components. The audio processing system comprises a compensator with a transfer function for obtaining at least two compensated signals from the input signals. The transfer functions of the compensator may include linear and non-linear components and are inverse to the transfer functions of the loudspeaker-room system to the extent that a desired overall transfer function is established.