Well that sure as heck looks like it's muted, but if it really is muted then there should be no signal from it.patrick160356 wrote: As to whether the microphone is muted, it is, as you can see below.
Audacity does not have its own sound system, it just accesses the computer sound system - that's the same for all versions of Audacity.
First off, you need to be back in business.
If you've not done so already, reinstall Audacity 1.2.6. You can have both 1.2.6 and 1.3.x installed at the same time as they install in different directories.
The limitations of having two versions installed are as follows.
1) You cannot run both versions simultaneously.
2) Audacity 1.2.x cannot open projects that have been saved by Audacity 1.3.x
3) When Audacity 1.3.x is first installed it will pick up some settings from any other previous or currently installed Audacity.
You mentioned that you had been sent an Audacity 1.3 project from a client. Although Audacity 1.2.6 cannot open this Audacity Project there's a possible workaround (the practicality depends on the complexity of the project and what exactly you are doing with it). You could:
Open the project in Audacity 1.3.12,
Export the project as a WAV file,
Close Audacity 1.3.12
Open Audacity 1.2.6 and import the WAV file.
Hopefully that will get you round the immediate difficulty, but I'd still be keen to try and resolve the issue that you're having with Audacity 1.3.12. On the face of it, what's happening looks impossible, so we must be missing something.