Photoshop quick question

I believe this is a simple question for all those people who know how to use photoshop.

I have an older version photoshop. I open an image (lets say it 2500x2500) With that image open, I open another smaller image. (250x250) I copy the smaller image, then go back to the larger image and paste the small into the large.

Now for the problem, Sense I just pasted the small image into the large one, my thinking (or lack of it) tells me that I should be able to move it around a little bit and place it (move it) to where I want it to be within the larger image.

How do I do this with Photoshop?