Personally I solve it on VS by doing the first step. (Yours isn't exactly the same error but it's for the same reason).
Change your project configuration to use multibyte strings. Press ALT+F7 to open the properties, and navigate to Configuration Properties > General. Switch Character Set to "Use Multi-Byte Character Set".
Also make sure that your WAVE file is relatively small (say, less than 100 kilobytes):
MSDN wrote:
The sndPlaySound and PlaySound functions load an entire waveform-audio file into memory and, in effect, limit the size of the file they can play. Use sndPlaySound and PlaySound to play waveform-audio files that are small — up to about 100K. These two functions also require the sound data to be in a format that is playable by one of the installed waveform-audio drivers, including the wave mapper.
For larger sound files, use the Media Control Interface (MCI) services. For more information, see MCI.