Step1: Open Photoshop, click on the “Set background color”

Step2: Click File –> Add New, Set Background contents as “Background color”

Step3: Open up your image by selecting file -> open

As you can see there are now two windows on your work space.

Now follow the following steps to make the background transparent. Click on the window of your image and then…

Step 4: Double click on the layer in the layers palette on the right hand side of the screen by default. Click OK on the box that comes up.

Step5: Grab the magic wand tool and click on the white background.

Step6: Hit Delete on your keyboard.

Step7: Hit Ctrl + D on your keyboard.

Step8: Hit Ctrl + Shift + S on your keyboard and select CompuServe (*.gif) in the File Type dropdown. And select where you want your image to be saved.

Now you can drag your transperant object to your colourd canvas, for this use the Move tool.

Finally save it. Done !

Step 1: Open both images in photoshop.

Step2: Select the image you want to copy using the select tool in the tool bar.

Step3: Press Ctrl C

Step4: Take the image in which the copied image needs to be inserted.

Step5: Press Ctrl V

Step6 : Press Ctrl T

Step7 : Now you can move/ resize the image in the way you want.

Done!