cannot hear people talking and they cannot hear me

[gauntlet36]

Hi, as the name of my thread suggests i cant hear people talking and they cant hear me, here are the images of my settings.

http://img210.imageshack.us/img210/3272/sound1.png (http://img210.imageshack.us/i/sound1.png/)

and

http://img130.imageshack.us/img130/941/sound2.png (http://img130.imageshack.us/i/sound2.png/)

edit: dont think first picture is embedding properly, here is a link to it http://img210.imageshack.us/i/sound1.png/