In order to answer the question, it might be helpful if you mentioned which type of router? For example, Cisco now own Linksys consumer grade routers, such as the WRT54GS, which is a wireless and ethernet based ADSL router. Once you set up a *basic* configuration for PPPoE, the LAN side already has private addressing enabled by default. The DHCP server is already enabled and all you have to do is set exclusion ranges for any hard coded IP addresses. NAT (or whatever Linksys calls it) will happen automagically. In terms of the other Cisco product lines, you will have to get the necessary configuration lines installed in order to get that functionality. Which router are you referencing?
Till now all the ADSL-cum-wireless routers I have seen are NAT based only,or at least the default configuration is of NAT only.In some routers, you are able to toggle between NAT enable and NAT disable.
Yes, they will automatically NAT the LAN network if you are going through basic setup mode.Though you may get the NAT disable option in the Advanced mode(If it is there).
If you had given the Product name and make,it would have been easier to identify.
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