Can I use WordPress Cache Plugins Like W3 Total Cache with Google Adsense? Is it against Google Adsense? Do these type of plugins cache Google Adsense ads too?
Yes, you can use adsense with cache plugins like w3 total cache.
Adsense loads through ajax request after the DOM is rendered (or being rendered) to the browser. Adsense ads are responses to communication between visitors computer and adsense servers. They have nothing to do with PHP server delivering wordpress site.
Cache plugins only cache the html part (and/or css and script) of the code. Just check if the adsense snippet is correctly implemented by seeing the page source in browser.