Transforming

 First of all you select the image you wish to transform. Then you double click on the background and press 'OK'. 

after you have done that, you must click 'edit' 'transform' and click on where it says 'warp' then a scale will come up ontop of your image, like below, and thats where you move it around and change the image to how you want.

  You can make the image move where ever you wish too.