DHCP works at the application layer to dynamically assign an IP address to a client by exchanging a series of messages known as DHCP transactions or DHCP conversations.
The DHCP client sends out broadcast messages to find DHCP servers. If any subnet broadcast addresses are set, the client computer delivers a packet with the default broadcast destination of 255.255.255. The broadcast address 255.255.255.255, which signifies 'this network,' allows you to send a broadcast packet to the network to which you're connected.