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The purpose of DHCP is to deliver configuration information to individual network hosts and to reduce the administrative work involved in configuring larger IP networks. DHCP can provide configuration information to any host directly connected to the network, either permanently or temporarily. The type of IP address assignment, however, depends upon the type of host.
Network hosts best suited to dynamic address assignment are desktop and laptop PCs that are routinely connected and disconnected from the network. Users of such machines typically do not require constant connection to the network. Dynamic assignment allocates them the address they need, for only the period of time that they need it, without requiring any action by you.
Other network hosts that provide a service on the network, such as routers, gateways or print servers are better suited to manual address assignment. This method gives them the same address every time they boot and you only have to configure the address once.
DHCP cannot provide configuration parameters to remote hosts connected to the network via PPP. Pools of IP addresses configured in the Address Allocation Server for use by PPP clients should not normally be shared with those pools configured for use by DHCP clients.