Thanks but I've already tried every possible optimization trick and I haven't managed. When I increase the cycles over 40,000 or so in dynamic mode it starts to go slower again. It's definitely playable, only the animation is somewhat awkward. It's the video what takes all the CPU horsepower, I've tried playing with no sound and it's virtually the same. I'm not the only one with this problem
(Sourceforge link) and I guess this game has a particular problem with DOSBox, but if somebody is playing this very game (Faery Tale Adventure II) in DOSBox, please let me know how.