itunes 'check for update' button greyed out, does it have latest firmware?

[Felix E]

I'm following the ultimate iphone guide.. I have my iphone in recovery mode but check for update is greyed out in itunes and it says my software is up to date. So i can't do 'Click 'Update' to download and install the latest firmware (Currently 1.1.4).'

Does this mean it already has it, should I click 'Restore' or start the pwnage thing?

Thanks,
Felix

edit, nevermind have gone for restore anyway just to make sure I do everything right.