Apple TV can be finicky at times. Sometimes the audio stops working and sometimes it does not connect or it does not see the Apple TV. This tutorial will help you get it working. First download Restart AIR Play.
Please read these instructions completely before proceeding
TLDR; Click button, enter credentials, restart your video or audio app and try again.
NOTE: Any audio applications (such as iTunes) playing audio will stop playing. They may need to be restarted. To be safe close them before proceeding.
1. Click the Restart AIR Play button in the Restart AIR Play app.
2. You will be prompted to enter your login to restart the core audio process
3. After entering your login click OK.
4. Now try to connect and stream to your remote device again. You may need to restart your video or audio application (iTunes, VLC, QuickTime, etc) and then try to connect again to Apple TV again.