If you look at the diagram, "on" is up, pushed in above the numbers on the DIP switch. Keep in mind the changes take effect only after the game power is cycled. The software only reads the DIP settings at power on.
Also, if you are still having trouble you can use a DMM or ohmmeter to check the switches. It looks like there might be some corrosion present. DIP switches can and do fail, especially on older games or those exposed to excessive moisture/humidity.