Windows 10: Hyper-V Virtual Machine Crash When Audio Activates (Event 1000, 1026)

I am happy to report that I have found the solution!

Short Story:
The culprit was indeed an/another audio codec (Kari, we were close, but I just didn't have any error/info that solidly pointed to any 'one' thing.)!
For anyone who comes across this issue and did not have the Ogg Vorbis codec file as the problem, then check to see if you have the Bandisoft MPEG-1 Decoder program/codec files (bdmpega64.acm, bdfilters64.dll, etc.).
You can actually find it right in your Programs and Features list and uninstall.
Test the VM audio local resource and it should no longer stop working every time a sound is produced - unless something else exist that is still causing the problem *Huh.


Long Story:
For those who want to know what I did to find this issue, as one may have something different that may lead to the same type of issue with virtual machines crashing on audio, then one may be interested in the story below which can be useful to finding the problem:
Finally, after searching in vein about "~ remote desktop crashing on audio/sound", I came across interesting post(s) where someone had talked about getting a memory dump and then using windows debugger to analyze the dump. I feel like I must have passed this at least once during my Internet searches, but I just didn't give enough patience to look into the details and passed as soon as I read about the printer being the issue in the link (which was not my case since I can disable printer local resource option and my problem still happened).
Searching on the terms of "memory dump" revealed that you can create a key for a program to give a memory dump by editing the registry (regedit). Take care when messing around in the registry.
I created the key for "VMConnect.exe" and created a property string "DumpFolder" to a desired directory on my hard-drive.
Once this is done, I connected to my test VM with the issue and triggered the problem. The dump file was then generated in the said directory.
Now one needs the debugging tools which contains both DumpChk and Windows Debugger (WinDbgx86); the linked site has instructions to download and install just the debugger tools.
Using this site as a guide, I then open the memory dump file and followed the instructions to get to an "Exception Analysis".
That ended up revealing several files associated with errors, and key error terms that if used for Internet searches resulted in postings with my issue (which didn't appear for me without the key terms - the name of DLLs and specific failure reason of "heap corrupt/corruption").

 

Kudos to you for continuing the hunt *Smile