Recording w/ Audacity: Question???

I've read some posts here that mention you can set Audacity to record 'what you hear'. I can't seem to find this anywhere in Audacity. I looked thru the Help files too. Long story short: There's some audio I can listen to on the 'net and I'd like to record it if possible. I'm thinking I may have to run a stereo cable from my speaker-out jack to the line-in or mic jack and then record from there. If I do that, will I get quality recordings? I have a vague memory of doing that before and the recordings sounded like shi*.... any help or suggestions will be much appreciated!!! THANX!

hopperdave2000

 

I just checked how to do this.

Click Edit, then Preferences.
In the Channels drop down box, select 2 (stereo). Click OK.
Make sure it's set to Stereo Mix (just under the record button at the top).
You'll probably have to drag the slider control down to its lowest setting to avoid distortion.
Er, that's it.

http://i23.photobucket.com/albums/b384/12quidkidinnit/audacitypic2.jpg

http://i23.photobucket.com/albums/b384/12quidkidinnit/AS2.jpg

 

you need to change record settings for your soundcard.

http://i12.tinypic.com/2uskkg1.jpg