wow, that looks different. I figured they just used the realtek skin but thats a completely different skin. All Asus do on theirs is rename it. what does the A - D line at bottom mean?
So anyway, are the speakers/microphone showing there your headset? have you tried right clicking the icons that represent your inputs (the green and pink icons on right) as it should let you select what they are and not just speakers
there should be an option in the options menu (who would have guessed) that makes front and rear separate playback channels, you seem to be using two green ones which might be cause.
what version are the drivers? latest are 6.0.1.7746