Don't feel stupid at all! We all have to learn it somehow! And yes, of course there is a way! This is very easy and I will simply walk you through it in this comment. I may make a full tut later but I don't think you will need it.

You start out with this YUCK it is too pixelated and you can barely see any of him! So you make the image smaller by going LAYER/SCALE LAYER (you can see it here)When you do so this box will pop up. The two boxes I circles (the ones with the numbers inside of them) are very important. Put a smaller number in the boxes (just change one number, the other will change automatically after you put the new number in the first box. The number you put doesn't matter normall I start with 300 and if I want it smaller I just go back and change it. When you push scale you proably won't be able to see the image but HAVE NO FEAR it is just hiding. Get your move tool and move it around you will find it. Move it to where you want it and VIOLA your done. See mine.
I hope that helps if you have any more questions please ask!