I've done some further checking and it doesn't look good. The supplied capture software is called Amcap, which is shareware. I checked the help and it tells you how to set up and provides a FAQ which covers some error situations including this one. I followed the instructions to the letter but it just made matters worse. Now when I try to capture audio, I get an error message saying "An error occurred during capture. No time stamp has been set for this sample. (0x80040249 / 1036

" This happens when I try to capture either uncompressed or AVI. If I try to capture WMV, I don't get the error message but it only captures about 15 frames then drops every frame from there on.
On further investigation, I found my way to the author's website but there is no support section. Just the FAQ that's in the help and a guestbook. When I clicked on the "Contact" link I got a message saying he can't access his email! I've left a message on his guestbook so I'll keep you informed if I get a response.