Mitel 5020 phones not connecting

We have just installed the Asterisk now PBX system using the AsteriskNow 1.7.0 i386/asterisknow32.iso and I have been able to install the free x-lite softphone and get them to connect thanks to all of the posts here on this site.

My problem is that I would like to use these Mitel 5020 IP Hard phones to this Freepbx system but I cannot figure a way to do this. If I hold the up arrow key while plugging in the power I get these choices:

Set Static IP Param: *No 0=View #=Yes
Input VLAN: I have blank
Input Priority: " "
Input IP address:
Input PDA address:XXX.XXX.XXX.XXX
Subnet mask :
Input RTC address:
Input DNS address: XXX.XXX.XXX.XXX
input Proxy Address: XXX.XXX.XXX.XXX
input Proxy address: Blank
Jitter Buffer: No
Technician IP address:
Store IN NVRAM *=No #=Yes

My Asterisk server is on my local network at address I have been trying to plug in info here and there into the phone but nothing works.

Is there a way to register the phones directly to the users extension using the the MAC and IP address so that when Asterisk gets "Register packet it can match it to the user and that’s it?
Any help will be greatly appreciated.