paresh, skippy gave you a good answer, to which I would only add a little bit. This probably seems really obvious and not worth a mention, but you'd be surprised how many people don't do this:
Always use the correct cabling for your gear. In other words, if you have balanced gear, used balanced cabling, if you have unbalanced gear, use unbalanced cabling. If you are wiring balanced gear to unbalanced gear, or vice versa, use the correct cabling. In that case, that means custom cables that are wired properly internally. There is some gear that can accept either TS or TRS jacks, and in those cases you can use either cable with no problem. But if you are running between TS unbal and TRS bal gear, it's best to use the right connector cables.
Also, as skippy mentioned, balanced cabling is not better just because it's balanced. If your gear is unbalanced, then there's no advantage to using balanced cabling. Also, if you only need short cable runs and aren't near a major source of RF, then unbalanced is fine.
Hope this helps.