Audio Drivers Enabled and Visible, yet no Sound.

I have contacted Microsoft previously but all they offered me was an expensive program. My issue is that when I look in device manager, my headphones are enabled, but no sound comes out. In my tray, I see that my sound is muted. I tried to play a song but it gave me an error about my sound. Another factor is when I look in my sound window, I look at the headphones and normally I would see greyed out bars going vertically. In my case I have the opposite. I am using a standard headset with no USB.

Specs-

Mobo- Gigabyte GA990XA-UD3
Processor- AMD FX-4100 Quad Core
Ram- 8 GB
GPU- GeForce GTX550Ti
OS- Win 7 Ultimate

BugMeister said:

- how are you connecting the headphones - are you using the connection from the soundcard, or the one on the case??

I am using my onboard sound, the back ones