Ever since I attempted to change the microphone levels and boost it started making a static noise when i webcam. I already change it to original setting but it is still making a noise.

Is it a hissing noise or a distorted crackling noise? If it's a hissing noise then it's due to a bug in Windows that adds 30 dB of gain. It's easy to work around, though: Go into Recording devices, Properties button, Levels tab, right click on the level number so that it shows in decibels, and then adjust the level to 0 dB. It's supposed to be at 0 dB but Windows 7 defaults it to 30 dB for no reason. This isn't a problem on Windows XP or OS X.

Most likely the 1/8" jack's input is LINE level. The microphone works at a higher IMPEDANCE and will have to be boosted to line level in order to have a matching impedance to the input on your netbook. You can use a mixer, a DI box, or microphone pre-amp to match the LINE level of your 1/8" jack. That will give you more control over level with less noise.

How to get your webcam microphone to work: Click on Control Panel, Hardwre and Sound, Sound, Recording. You should see your microphone icon with a Green check mark on it. If there is no Green check mark, it means it is disabled. If there is No green mark on Microphone it never works. To enable the Microphone Right click on Microphone and click on Enable. If you do not see the Microphone in the list, Right click on the White space and select Show disabled devices. Then you would see the Microphone. However, if you do not see the green check mark on it, Right click on it and click on Enable. And also Select Microphone and click on Set Default (If Set as default button is active).

If you see the Green check mark on Microphone the Microphone definitely works.

Step 3: Increasing Microphone Sensitivity and Un-muting the Microphone.

1. Select Microphone and click on Properties button.

2. Adjust the slider until to 100 % of its range.

3. If Mute is on, click the mute button to un-mute the device.

4. If Microphone Boost is available, boost the volume.

5. Click OK to make the changes.

Now the Microphone should work. To verify you can test it on the free webcam test tool site.

Ensure your webcam mic is set as default
Vista
TEST SPEAKERS
Right click on speaker icon in System Tray or from Control Panel
Select "Playback Devices"
The speaker icon ( checked as working) and volume level graph should be visible
Right click on the volume graph and click "Test"
Left hand speakers followed by right hand should be heard

SET DEFAULT & TEST MIC
Click "Recording" tab.
To set required (webcam) mic as default - click on mic font to highlight and click "Properties"
In lower dropbox display "Use this device enable" click 'OK'
Click "Levels" tab and ramp up sliders ( adjust to suit later)
Return to "Recording". Test mic by speaking and make sure volume graph displays

Restart computer

If the problem is due to feedback try using a set of headphones

Firstly, what version of Ubuntu and Skype are you using? Also what machine.

There are three areas where the issue could be - within Skype's settings, withing Ubuntu's settings or with the microphone/soundcard.

I'll cover some quick attempts at solving, assuming it's the first two. 

OK, first make sure Ubuntu's settings are correct. If you can access the sound settings (generally there is a Speaker icon in the top right). Right click, 'open volume control'. Often you need the 'boost' level as well as the usual microphone - if you have 'Front Mic', sometimes you need 'Front Mic Boost too', likewise if you have 'Microphone', you might need 'Microphone Boost'. In the Volume Control, click preference to add the 'boost' level.

If that didn't work it might be your Skype settings. In Skype options, 'sound devices' try changing the 'sound in'.

If those didn't work it might be hardware (or another trickier software issue) - try testing your microphone on something else.

Normal 0 Two things can cause static.
First, If you have your speakers turned up to high it will give you feedback causing distortion and static. I recommend using a headset when videoing.
Second reason is, if you are using a laptop and have added an external microphone between the two it will cause distortion and static.
Not knowing the configuration of your computer makes it harder to analyze the problem.
So hope this is of some help. Bud

Normal 0 Two things can cause static.
First, If you have your speakers turned up to high it will give you feedback causing distortion and static.
Second reason is, if you are using a laptop and have added an external microphone between the two it will cause distortion and static.
Not knowing the configuration of your computer makes it harder to analyze the problem.
So hope this is of some help. Bud

Maybe there is more than one setting for the microphone. Possibly the camera/mic software has settings that it is using when in use, or maybe it has an "auto" setting. Try adjusting or disabling this.

There a quite a few reasons why this could happen.

1. The sound device could be malfunctioning.
2. The cables are not plugged in all the way.
3. The camera may be close to a noise maker such as a fan, air conditioner, or your PC fan.
4. The sound wires could be crossed with an electrical wire which sometimes creates static or a hum.
5. If you are using a normal Microphone, there could be static on the port or connector.
6. The record volume levels are too high, or mic boost has been enabled and is picking up extra sound.

I hope one of these examples helps to fix your problem, if it doesn't, please get back with me and we can try something else. Good luck!

Did you check the record levels on the software you are using.