The following are the Dip Switch settings based off of MAME 0.180 source code.
 
Use this information at your own risk!  The information was parsed from the MAME source code and could contain errors as to the state, order or descriptions of what the switches do.  If you find an error, please let me know on the Contact Us form and I will work on correcting the issue. 
 
 
 
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Manufactured by Namco (Atari license), Released in 1982
ROM Version: Dig Dug (Atari, rev 1)
Print
Dip Switch:SWA
12345678FunctionOption
OffOnOn     Coin B1 Coin/1 Credit*
OnOffOff     1 Coin/2 Credits
OnOffOn     1 Coin/3 Credits
OnOnOff     1 Coin/6 Credits
OnOnOn     1 Coin/7 Credits
OffOffOn     2 Coins/1 Credit
OffOnOff     2 Coins/3 Credits
OffOffOff     3 Coins/1 Credit
When Lives not set to 5
   OffOnOff  Bonus Life10K and 40K Only
   OffOffOff  10K Only
   OnOnOff  10K, 40K, Every 40K
   OnOffOn  10K, 50K, Every 50K
   OffOffOn  20K and 60K Only*
   OnOffOff  20K, 60K, Every 60K
   OffOnOn  20K, 70K, Every 70K
   OnOnOn  None
When Lives set to 5
   OnOffOff  20K and 50K Only
   OffOnOn  20K and 60K Only
   OffOffOn  20K Only*
   OnOnOff  20K, 60K, Every 60K
   OffOnOff  30K and 70K Only
   OffOffOff  30K Only
   OnOffOn  30K, 80K, Every 80K
   OnOnOn  None
      OnOnLives1
      OffOn2
      OnOff3*
      OffOff5
Dip Switch:SWB
12345678FunctionOption
OnOn      Coin A1 Coin/1 Credit*
OffOn      1 Coin/2 Credits
OnOff      2 Coins/1 Credit
OffOff      2 Coins/3 Credits
  Off     FreezeOff*
  On     On
   Off    Demo SoundsOff
   On    On*
    Off   Allow ContinueNo
    On   Yes*
     On  CabinetCocktail
     Off  Upright*
      OnOnDifficultyEasy*
      OnOffHard
      OffOffHardest
      OffOnMedium
ROM Version: Dig Dug (Atari, rev 2)
Print
Dip Switch:SWA
12345678FunctionOption
OffOnOn     Coin B1 Coin/1 Credit*
OnOffOff     1 Coin/2 Credits
OnOffOn     1 Coin/3 Credits
OnOnOff     1 Coin/6 Credits
OnOnOn     1 Coin/7 Credits
OffOffOn     2 Coins/1 Credit
OffOnOff     2 Coins/3 Credits
OffOffOff     3 Coins/1 Credit
When Lives not set to 5
   OffOnOff  Bonus Life10K and 40K Only
   OffOffOff  10K Only
   OnOnOff  10K, 40K, Every 40K
   OnOffOn  10K, 50K, Every 50K
   OffOffOn  20K and 60K Only*
   OnOffOff  20K, 60K, Every 60K
   OffOnOn  20K, 70K, Every 70K
   OnOnOn  None
When Lives set to 5
   OnOffOff  20K and 50K Only
   OffOnOn  20K and 60K Only
   OffOffOn  20K Only*
   OnOnOff  20K, 60K, Every 60K
   OffOnOff  30K and 70K Only
   OffOffOff  30K Only
   OnOffOn  30K, 80K, Every 80K
   OnOnOn  None
      OnOnLives1
      OffOn2
      OnOff3*
      OffOff5
Dip Switch:SWB
12345678FunctionOption
OnOn      Coin A1 Coin/1 Credit*
OffOn      1 Coin/2 Credits
OnOff      2 Coins/1 Credit
OffOff      2 Coins/3 Credits
  Off     FreezeOff*
  On     On
   Off    Demo SoundsOff
   On    On*
    Off   Allow ContinueNo
    On   Yes*
     On  CabinetCocktail
     Off  Upright*
      OnOnDifficultyEasy*
      OnOffHard
      OffOffHardest
      OffOnMedium
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