Adobe Camera RAW in Elements 8

Hi, I have just purchased and installed PSE 8.  I've also got some tutorials on disc from a number of photography magazines as I am interested in editing photos using Camera RAW and PSE 8.
For some reason I cannot open and files with Camera RAW version 5.5.  I have no idea how to update the software as I am new to this, does anyone know which version of Camera RAW I need to open files with a .DNG extension or .PEF (Pentax RAW) extension?
I have tried following the steps to open files in Camera RAW but they just open into PSE 8 Editor in which I cannot adjust things such as white balance.
This is becoming very frustrating and I am already regretting buying this program.
Hopefully someone out there has more experience and knowledge than me and can help?

What is your screen resolution on the computer you're running PSE8 on?
ACR requires a vertical screen resolution of 768.  If you're on a small laptop or a normal-sized netbook, PSE will skip the ACR-user-interface and go directly into the editor.
The update for ACR will be on http://www.adobe.com/downloads/updates/ and choose Camera RAW - Windows/Mac at the top, and then after choosing the ACR version, the page that comes up should have a link for a PSE-specific install process.  The text on the main ACR update page will have the Photoshop instructions so you have to look for a link for the PSE instructions.  It should involve downloading a ZIP, extracting the files, and replacing the plug-in file manually.

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