If you are installing on a Windows Vista machine, you will see the following dialog box:

You can choose devices from the list here. You won’t see the wave to help you choose the device if you are using Windows Vista. However, the recording device for microphone recording will most likely start with “Mic” or “Microphone”. Click OK to finish. You may see different device names depending on your sound card. This picture was taken on a computer using a Realtek Sound Card.