A caption can be added with the Insert Caption option. The little green ball on the top of the picture allows it to be rotated. You can also change the wrap points to various positions. To provide a custom angle for rotation, select More Rotation Options and provide an angle under section Rotation. From the drop-down list, select an option to rotate the picture. Within the group Arrange, click icon Rotate. The Crop option can be used to crop out some of the background.The picture can be moved around within the text and you can change the text wrapping any way that you want, even placing it behind the text. On the ribbon menu, click the tab Format under Picture Tools. Picture Effects lets you add interesting effects to the picture. This setting also allows you to change the transparency of the picture.There are a number of preset picture styles to choose from, or you can make your own by selecting one of the many options for shapes, borders or lines. The Recolor setting gives you a number of options for changing the coloring of the picture, such as sepia, black and white, or grayscale. You can adjust Brightness and Contrast by using the various choices within these settings. To resize the picture without distorting it, click and hold on the corner circles.
To insert a picture in your document, click on Insert and select Picture, then find the picture, select and insert it. This video is a Microsoft Word 2007 tutorial on working with pictures.
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