There's another question that answers this though it doesn't specify anything regarding proxy authentication.
Its solution is
(setq url-proxy-services '(("no_proxy" . "work\\.com")
("http" . "proxy.work.com:911")))
Nowadays, my approach to the "authenticated proxy problem" is to use CNTLM. It is portable, quite easy to configure and may be run as deamon.
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