\documentclass[a4paper,12pt]{article}
\usepackage{epsfig}

\begin{document}

%Including Graphics

There are atleast following steps involved in including
graphics.  (I still don't know how to unindent this.)  
\begin {itemize} 
  \item Include the above package.
  \item Get a file type converter such as Nico's View from 
        net and convert JPEG or GIF files to eps format.  
  \item Note the format.  
\end {itemize}

\begin{figure}[h]
\begin{center}
\epsfysize=6cm
\epsfxsize=7cm
\epsffile{pic2.eps}
\caption{Integrator}
\end{center}
\end{figure}

\end{document}