1. First of all you have to download and install Virtual Audio Cable which can transfer audio from one device channel to another. Download it from http://www.software.muzychenko.net/vac409.zip and save the installation file to your computer. The file is in zip format, extract it and double click the installation file i.e. setup.exe
2. Next, Click on Yes in the User Account Control box.
3. Next, Click on ‘I accept’ in the license agreement window and then on next window click on the Install button.
4. Click on the ‘Install this driver software anyway’ and finally you will see ‘Installation completed successfully’ message.
5. Open the Control Panel by clicking on the Control Panel tile on the Start Screen.
6. Next, click on the More Settings.
7. Click on the Hardware and Sound.
8. Next, Click on the Manage audio devices.
9. Next, click on the “Playback” tab and right click on the Line 1 (Virtual Audio Cable) and select ‘Set as Default Device’. Then click on the OK button.
10. Next, we have to download and install Audacity which records what you hear (or even what you don’t hear). You can download Audacity from http://audacity.sourceforge.net/download/. Next, install the Audacity to your computer. Follow the installation wizard to install Audacity.
11. Next, launch the Audacity application by clicking on the Audacity Panel tile on the Start Screen.
12. Next, click on the Edit >> Preferences or simply press Ctrl + P.
13. Next, On the Devices tab, select Line 1 (Virtual Audio Cable) under Recording section and then click on the OK button.
14. Next, play any file with audio and in Audacity click on the Record icon. Now everything you hear or you dont hear but is playing will be recorded in Audacity. To export the recorded file, click on the File >> Export. Then give your file and select your desired extension (file type) like .wav or .mp3 etc. That are the complete steps to record what you hear in Windows 8. One more thing, you might have to change your default playback device to speaker to hear what you have recorded. See Step – 9.