Im using a HP Pavilion laptop and I used to use the onboard mic with skype and it worked fine. Today I see that its not working so i tried to test it using sound recorder and i got an error message that sais , "An audio recording device cannot be found". Any ideas what I should do? I checked in sound properties and its showing that the mic is working.

if shows it working, somewhere it got corrupt, could try a fast fix, try a system restore to the last restore point, or when you know it was working, it might fix the problem. Good luck

If you are in vista you can go to your control panel...sound... recording tab.... Look at the list of devices and set priorities for each. If you don't see any devices and you know you have one, right click inside the window and check "show disabled devices". Maybe you accidentally disabled it or something similar. You can then right click on each device and enable it or "set as default" aka if it is plugged in use it. Hope this helps.