Two rows of marching ants should be seen. One around the edge of the graphic, and one at the edge of the image. With the dropper, choose a colour from your graphic, and flood fill the border using the bucket tool. Now only the graphic should be highlighted. Use the magic wand tool to select the new border.
Flood fill the border with the same colour as the first border.
Flood fill the background strip you've just opened with the same colour as you've used in the frame. Position your graphic to the top and left, leaving a nice border round the outside of the frame. Click on the background with the magic wand. Just the framed graphic will be highlighted. I hope this has helped.