I think when you choose to use WASAPI with Foobar, it enters the "Exclusive Mode" and takes over the sound device you assigned to use in WASAPI mode. In exclusive mode, the device can only be controlled by one program at a time, in this case Foobar. If you want to use the sound device with everything under Windows (other programs, system sounds, etc.) and have use of its built in volume control panel, you have to take it out of WASAPI and make sure the device is chosen in Windows/Control Panel/Sound as the default device and configured properly.
When using my uDac for instance in Foobar to listen to music only, I choose (WASAPI :Speakers - Nuforce uDAC) under Foobars Output/Device menu. When I want to listen to music with Foobar (but sacrificing bypassing Windows kernal) and still hear other system sounds or say a games sounds, I choose (DS:Speakers - Nuforce uDAC) in Foobar. The DS means DirectSound, that is what the Windows kernal process sound system uses, and it will allow you to use Windows built in volume mixer. In DS mode, the sound device can be shared by more than one program at a time.
I hope I didn't confuse you all more than help you. Good luck.
Edited by Dojomoto - 10/30/10 at 12:01am