One more thing the version i am using is 6.9 version of web washer. If anyone want to know any more info please feel free to post
To do a full test, since using WPAD via DHCP is a bit of a "at time of address acquisition" sort of thing, I'd do a test like so:
Set IE to automatically detect settings, and don't specify a proxy.
At a command prompt do the following:
The last command will re-pull the DHCP address along with the attendant information.
If at that point the machine isn't using the WPAD/PAC file (which should be on a machine resolvable by the name wpad in a file name wdap.dat on the root of that web server), check to make sure that with no proxy set in teh browser, that http://wpad/wpad.dat resolves.
I'd also recommend that anyone using WPAD put a rule into blocked domains to block wpad.TLD (where TLD = .com if your company is a .com) to avoid the vulnerability mentioned at http://en.wikipedia.org/wiki/Web_Proxy_Autodiscovery_Protocol#Security