Creating Bones with an image from photoshop or illustrator

Before placing your document into Flash, be sure you have separated the limbs you need to move into different layers. For example, if you are making someone wave, you need to have the forearm and hand in their own layers.

In flash, import your files and convert the layers that will be moving into a movie clip.
Now select the bone tool (it looks like a bone) and drag from one hinging point to the next. For example, drag from the elbow to the wrist.

Now move the time line out to 40 seconds, or whatever you desire. Select the hand and move it in a waving or lifelike motion. Return to frame one and move it back to its original position.

Congratulations! You now know bones.

An easy way to continue the motion is copy and reverse the frames.