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[Jerry123]

Yes, Dosbox works with Vista, no problem. I heard there were problems with CD emulation, but it should be fixed already. All games I tried worked without any problem (Vista 64-Bit by the way).
Some problems users keep experiencing could be related to User Account Control (UAC), a new security feature in Vista: Vista doesnt let programs access the root directory of drive C, the "Programs" and Windows subdirectories (among other things) without Administrator approval. This is a good idea against viruses, but it creates compatibility problems. It would definitely interfere with somebody mounting his drive c under dosbox (which is a bad idea anyway).

What I did: I made a separate partition on my Harddisk just for emulators, Dosbox in particular. UAC will (by default) not protect files you put there.

Then I set up a "Dos" directory for Dosbox which is mounted automatically upon starting dosbox (its done by using the conf file).