It works fine for me as well (WinXP, P4 2.4, 512MB RAM). Default dosbox.conf and only the cycles value should be changed to 5500 (or higher value) for faster run.

But did you tried to overclock DOSBox? DM2 was slow with default DOSBox cycles, but after a few presses of magic combination CTRL+F12 it now works like a charm on my P2.4 :) DOSBox "overclocking" may sometime produce distorted sound, then try to again a little decrease the cycles by CTRL+F11. Check …