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I have the visual side of it kind of sorted out, I will use this connector to allow for both pc and xbox visual signal to get to the monitor

http://www.amazon.co.uk/Duronic-HDS3-Switch-output-Switcher/dp/B0020426AG/ref=sr_1_1?ie=UTF8&qid=1379006353&sr=8-1&keywords=hdmi+splitter

but how do I get audio signal from the xbox to my pc speakers? they are Logitech z-906. The inputs available are either optical or RCA.
unless im doing this completely wrong and theres a way of connecting the xbox straight to the pc?

Thanks a lot.