Audio input problem.

I am using cubase 8 on windows 10 and using an alesis IO2 as my input device. I believe i have set up cubase right but not audio from the alesis IO2 is going into the program even though when i use my normal headset microphone it works. Im unsure if this is a cubase problem or a problem with the alesis IO2, possibly the drivers as in the recording devices menu it picks up no signal from the hardware.

Specs
Windows 10
Cubase 8
16GB RAM
15 6600
Alesis IO2

Devices/Device Setup/VST Audio System - Is the IO2 selected as the audio driver?

Are you using the alesis IO2 or the alesis IO2 express?
I have the older version, the alesis IO2 and recently also have problems with the alesis plus Windows 8 plus Cubase Le 8. The recording sounds nearly muted. There is a sound, but very very far away.