You would want to bring up whatever application it is that you use on your computer to play CD's. Then all you should have to do in Video Factory it hit the record button and then hit play on the app that you use to play CD's. However there may be some settings that you need to look at within Windows. Here is further information. I would suggest that you go to start/programs/accessories/ and then to entertainment (for win 98) or multimedia (for NT and win 95). Once there you would select the volume control. After you have done that you should go to options/ properties. Now you should be looking at a dialogue box that has adjust volume for written at about the top and two buttons below saying play back and recording. You would want to select the recording button. Once you have done that make sure that you a put a check next to the box that is for your CD or line in which ever way you are recording. Then hit the OK button. Now you should be looking at a mixer view. Once there make sure that you have a check in the box next to the word select under the CD or line in slider and that the volume is about ¾ of the way up. Now you should be able to record.