Make sure you're using the following package:
Code:
\usepackage{graphicx}
Then, I add a .jpg file using the following code:
Code:
\begin{figure}
\centering
\includegraphics[scale=0.7]{filename.jpg}
\caption{A caption and a reference \cite{REF08}}
\label{fig}
\end{figure}
I think it should work with .png's as well.
One last thing, in general I'd recommend, as long as it is possible, to insert vector based figures, since they are scalable! If it is an .eps for example, then you can easily convert it to PDF using:
I hope it was helpful.
Have a nice week.
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