Generally it is possible to test cgi-scripts with PWS, but you first have to go to the administration interface, and tell PWS where it can find Perl and I even had an installation, where I had to tell PWS that it may indeed execute files that lie in cgi-bin.
Personally I find Apache (for win32) far easier to handle. Even though it has this large config-file, but I found the documentation within that file to be enough to get it running for local cgi-testing.

For ease of configuration I can also recommend Xitami or OmniHTTPd.

neophyte