DHCP (Dynamic Host Configuration Protocol) is the protocol used by network devices (such as PCs, network printers, etc) to automatically obtain correct network parameters so they can access network and Internet resources such as IP Address, Default Gateway, Domain Name, DNS Servers and more.
A DHCP Server is considered necessary in today's networks. Devices usally found providing this service are Windows servers, routers and layer 3 switches.
In this Senario Router will act as DHCP server.
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