The dialog boxes for editing images look pretty much the same in Word 2007, though the way to access them is different. To insert a picture into a document, activate the Insert tab, then in the Illustrations section, click on the Picture icon. Select the image, load it into Word 2007 and size it accordingly, using the handles and tools available under the Picture tools tab.

To edit a picture later on, select it and under the Picture Tools tab, click on Format. This gives you access to all the picture tools for further editing.

Another option is to select the picture and right-click on it, which brings up a popup menu for access to quick editing tools.