"How do i know if I have busybox?"
Open Terminal Emulator and type "busybox". If it gives you a giant list of command options, it's installed. If it says "Command not found", it's not.
edit Rather than putting this in the comments: you could also try su to become root followed by busybox, busybox --version, busybox --help or anything that will give you some feedback and some clues as to what's going on.