a preferred DNS Server is the hostg computer who gives you IP address, or
if your are trying to connect to whatever services a computer provides, this should be the Static ipaddress of that computer,.
I am sorry but that is incorrect. The DNS does not hand out IP addresses it is the DHCP!
And to answer the question the DNS is a service that resides on a Server that tells client computers what the name is that associates with a IP and more. The preferred DNS is where the client will look to first for the name resolution.
The default gateway is a device that takes clients out of the internal network. For example the client computer looks to the default gateway to get to the internet. (in very basic terminoligy for you)
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