im using vegas video 3. ill explain everything there is to recording:
1: inserting empty audio tracks slots
click <insert> then audio track. right click on the colorful square, scroll down to <recording inputs> to select your input (ie: left channel, right channel)
2. readying up for recording:
on the track slot u inserted, click the red circle (record). this does not start recording but readies the track for the proccess. you can adjust the volume to fit ur needs as shown on the green bar that shows up.
3. recording
after the track is ready for recording, click the record button below the tracklist window (near the pause, stop, etc). when u are done press stop.
4. selecting effects
click alt+3 to view the mixer window. on the top right of the window, you see an icon followed by "insert fx". click it, select your effects, fiddle around with the knobs to see what sounds good. after you have your effect ready, its time to slap it onto the track.
5. inserting effects
under the colorful box of your track you see vol, pan, and center. near center should be a arrow pointing down. if there is no arrow, you did not select an effect. if there is an arrow, click it scroll down to your effect, which should be FX 1. you can regulate the effect interference with the music. see what sounds best.
also if you have sound forge. you can merge the two programs. in the biggest window where u see your tracks. right click on one and press OPEN IN SOUND FORGE. this lets you do more complicated things to the audio without interfering with the rest of the project. when you are done, click SAVE and overrite in sound forge, and it will appear in vegas, how u modified it in sound forge.
if you have any other questions, feel free to ask. ive been using the proggy for a good 6 years