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Hi there.  I'm relatively new to PS, having used Corel Photo-Paint for years.  PS is much better in many respects, but there are a few tasks I was easily able to do in PP that I'm having trouble figuring out in PS.  So I'll really appreciate your help.

Anyway, here's what I'm trying to do... 

I have a large image, and I want to cut out pieces of that image that are in the shape of a different image.  How do I get transparent PNG image to create a mask or marquee which I can then use to copy pieces from the larger image? 

In Photo-Paint this was easily done using the "Create Mask from Object" function.  You could select an object, then choose "create mask from object," which would highlight that object, then if you deleted that selected object, it would leave you with a mask that you could move around to capture parts of the image underneath the object.  Presumably there are ways in PS to do that using the mask layers, right?