The guide below works to jailbreak iOS 4.3.2 with PwnageTool 4.3.2 for Mac users, as the tool is compatible for iPhone 4 (GSM), 3GS, iPod Touch 4G, 3G and iPad 1.
Note: PwnageTool also preserves baseband of iPhone 4, 3GS that makes possible for users to unlock their iPhones with UltraSn0w tool.
Jailbreak iOS 4.3.2 with PwnageTool 4.3.2
Double click on PwnageTool DMG file to mount it and then execute the PwnageTool.app file and click OK
Choose Expert Mode from the upper left side of screen, select your iDevice and click Next
Click Browse for IPSW button and select the download iOS 4.3.2 firmware from your desktop
Click on General and hit Next
If you are on an unofficial carrier than AT&T then mark the box followed by Activate the phone option
Keep hitting the Next arrow until you reach on the screen where you found General option and this time click on Build option
Set a location to save custom iOS 4.3.2 on your system and PwnageTool will start building Custom IPSW. On completion PwnageTool ask to connect your iDevice to system, so do that
Follow the on screen instructions to put your attached iDevice into DFU mode
When your iDevice will enter into DFU mode a message will pop-up and iTunes will also start
Hold Alt/Option key and click on Restore button
Browse to the location where you have saved custom iOS 4.3.2 and select it
iTunes will start firmware Restore process on your iDevice which may take about 10 minutes
Done! You successfully performed iOS 4.3.2 jailbreak with PwnageTool 4.3.2.