Problem with recording vocals on Audition

[hulotings]

Hello! This is my first post, would apprecite your help greatly.

The situation is this - I have a pc, motu 828 mkII (USB) and an se2200 condenser mic. I have the mic wired to the front of the 828 in the 'mic/guitar in 1' (XLR), and then I have the output of the motu (main outs 1&2, in the rear) going to a pair of ADM9 speakers (in their analog left and right connections), and the USB connection going to my PC.

On the PC, I'm trying to use Adobe Audition to record the vocals coming from the se2200 - the problem is, when I arm for recording on multitrack view it starts scrolling across, but despite the fact that the motu is picking up the microphone sounds (the levels on the 'mic 1' are moving, so its definitely detecting the sound), audition doesn't seem to detect anything, and so it gives up recording after around 6 seconds and goes into the grey section (as opposed to red)

I have the following settings on track 1 of multitrack;

'Out 1' = Motu Phones 1-2
'In 1' = Motu Mic-Guitar 1-2

The strange thing is, yesterday when I started experimenting with the mic, it was recording the sounds absolutely fine in Audition..is there something I'm doing that's really obviously wrong? Is it possible that when I opened Sonar 6 to do something else, it may have confused Audition?

The other question is, is it possible to hear what the microphone is receiving through the HEADPHONES (as it records, so you can monitor it, AS WELL AS receiving the other sounds ie beats, instrumentals)?

I would really appreciate your help - sorry these questions are about something so basic, but its really frustrating!

Many many thanks