Don't use DHCP, it is a serious cause of most
problems with networking unless you have very stable
and highly tweakable networking equipment!
Statically assign the IP address to the wireless
computer. As long as you SSID is hidden there are no
more security risks than with DHCP
Nonsense. DHCP works fine without "needing" a static IP address, and the "masked" SSID offers no protection from discovery from someone who wants to hack ,just like MAC address filtering doesn't. A LOT of stuff is broadcast in the clear and SSID and MAC ID's are two of them.
I have used wireless and WPA on two Linksys boxes with all manner of wireless macs and it works just great. No experience with off brand routers but a new Linksys which is cheap as chips nowadays might be an idea.