dhcp wds server question

Hi,

Studying for the 70-649 I am looking at the situation where there is a DHCP server and WDS on the
same server. Situation is either a non-MS DHCP server or using wdsutil to manualy install wds.
Supposedly now the wds and dhcp are fighting over port 67 and I am supposed to disable listening to
port 67 "on the server" and enable option 60 on the DHCP scope.

----------<quote>-----------------------------
If you are running Windows Deployment Services and a non-Microsoft DHCP server on the same computer,
in addition to configuring the server to not listen on port 67, you will need to use your DHCP tools
to add Option 60 to your DHCP scopes.
----------<quote>-----------------------------
From http://technet.microsoft.com/en-us/library/cc771670(WS.10).aspx#BKMK_ConfiguringDS

Aparently "the server" is meant to be the DHCP service and not the Windows server which had me
stooped for a while.
But then what? Who is handling the dhcp request of the (PXE) client?
Where can I read what happens?

I'm assuming something like this but I'de like to know:
Client sends a DHCP discover broadcast on port 67 in order to get an ip-number.
The WDS service listens on port 67 and picks it up.
SOMEHOW the WDS service hands it over to the DHCP service, but how?
The DHCP service handles the request.
The DHCP service also sets option 60 to.... what?
The client now has an ip-number and tries to contact the pxe server on port 4011. Something in the
option 60 tells it to go to the same server which.... is the default as far as I know.
The wds service responds to the pxe request and from there on it's straight forward.

What am I missing? Where can I get a better explanation?

Bonno Bloksma