It is possible; you could set up PC1 as a client to the WRT54G wireless, disable DHCP on the WRT54G and use Windows ICS on PC1 to share the cable connection.
This is a bit of a kludge however, as the WRT54G is specifically designed to work as the internet gateway and you will end up with far better results (not to mention much better security) using this to share the internet if it is possible.
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