you need to use with mpega.library, on my 060 work perfect with the mdalib version optimized for 060. Use the non-fpu version becouse the "normal2 version is much faster compared with the fpu version.
You can use MPEGA (you can see on sys:c dir), this play mpega audio and mpega.library madlib version 060.
Amplifier 2.34 work perfect for play mp3 on 060 =)
PS: for full mp3 play on 040 you need the 40mhz version of this cpu or you can use atlantis or massplayer for decode all by hardware

Cheers