help needed for dial-in server

[m.w.chang]

eth0 is the interface for LAN 192.168.2.0/255.255.255.0.
ppp0 is the interface to my ISP.

following the sxs and my previous experiment, I got dial-in ppp working. 
Caller can ping 192.168.2.1 via interface ppp1.

ppp1  Link encap:Point-to-Point Protocol
       inet addr:192.168.254.1
       P-t-P:192.168.254.2
       Mask:255.255.255.255

Unfortunately. this caller couldn't resolve any domain names.
1. do i need to add a new domain in named for this ppp1 subnet?
2. And how to enable the caller to access internet via my linux host? an 
iptables masquerading rule?



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