[Exim] Authentication with POP3

I``ve installed my POP3 server, On my Linux Server, I have a user defined
with password. When i go and authenticate with Outlook, it asked me for
username and password. I went into authentication configuration and turned
on LDAP with dc=robertomason.pointclark, dc=net and my ip address is that of
my server 192.168.1.2.

According to what I understand, (I`ve never worked with LDAP), but LDAP
works as a database. Does this mean I have to create a record in LDAP and if
so how do I do that or does pop authenticate itself with the same
username/password (/etc/passwd)?