Is my new Win 7 pc still using a wireless signal dispite now being connected via a USB?

I have a very fundamental question that has me perplexed regarding my MX870 multi printer, scanner, fax device.
I used it with my Win XP pc via a USB connection and it functioned flawlessly. I later purchased a Win 7 laptop and made a wireless hookup from a Netgear router to the laptop. That worked well also.
I  recently purchased and installed a Win 7 Pro desktop to replace the Win XP pc and to my surprise it made an automatic wireless connection to the MX870 printer - not sure how or why this happened but all features seemed to somehow work without any input on my part?
Yesterday I disconnected old Win XP pc from the printer and located the new Win 7 desktop in its place. Since the driver and the software for the new Win 7 pc was obviously using the driver and software initially installed for the Win XP machine, I downloaded and installed the latest driver and software for the new Win 7 64 bit pc, and made a USB connection from Win 7 pc to the printer following the installation directions,
My questions are these:
1. How do I determine if I am indeed using the USB pc to printer connection and not somehow still using the wireless hook up? Can someone advised me on a way to make this detemination?
2. Could there be an issue if the printer is getting conflicting signals from the wireless and the USB? I wonder if that is still a possibility since the Win 7 laptop mentioned earlier is located in another room and continues to use the printer wirelessly.
I can no longer print color photographs using the new Win 7 USB connected pc to printer and suspect that the printer may be getting confusing signal inputs? If this is a possiblility is there a way to prevent wireless signals to the new Win 7 pc?
I am a novice with all of this and would very much appreciate any input and assistace.
Frank

To be brief, if I let my A/P Extreme set the channel automatically, it goes to 11. Then I get severe dropouts. This is in 802.11b/g compatibility mode. When I set the channel manually to channel 1, all is well, strong signals everywhere. I can't figure out why, but it works. So my suggestion is, *try some different channels* manually!!

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