Alright so I installed everything correctly. Put all the AudioMod, Modloader, CustomSpawner mod and Minecraft Forge into the right folders/files and everything. I put Morecreeps mod into the mod and resources folder. But when I run the game, everything works such as items being accessable and mobs showing up, but the items don't have the right icons (Frisbee is an egg, gem sword is a bed) and the audio of the items and mobs don't work.

Haven't gotten any steps or solutions yet to how to fix this... anybody?

you are probably using a texture pack which isnt compatible with more creeps, you should try installing mcpatcher first and then install the mod

I do have Mcpatcher and Im using the Minecraft default skin (i got 2 other texturepacks but I didn't install them into Minecraft using Mcpatcher)

if you install manually, do you get these errors? there is also a thread in this section on MCPATCHER - have you read that, it might help

I install AudioMod, CustomSpawner with Mcpatcher. Minecraft forge I drag the files in the .rar file into the minecraft 1.2.5 .rar and drag the .rar file itself into the server folder.

(I got the sounds to work finally, I'm only having issues with the item's icons)
Sorry if I make this really hard for you guys hahah

I seem to hear about this type of problem being caused by texture pack issues somewhat commonly. With MCPatcher it is possible to end up with some glitched graphics if you are using the HD texture mod from it and don't have it configured correctly.

Alternatively, there could be an issue with the texture IDs being used by the mods you're using. An error log might help reveal if there is an error with what texture sheets are being used.