Dead Eddie - thank you for pointing me here

I'm having an issue getting this to work, or maybe I'm not understanding the functionality properly. Could you shed some light on this for me? How do I associate a preview image with an article? I feel like this is a 'duh' question, but I am pretty lost on this. Also, where should I insert this code? I may or may not have a problem with this, instead it may just be I don't have a preview image associated with the article. Right now, I have an article that has an image attached to it, and when that happens, my goal is to have a preview of that image shown in the widget. Here is my code:
Code:
<div class="cms_widget">
<div class="block">
<div class="cms_widget_header">
<h3> <a href="LINK">{vb:raw widget_title}</a></h3>
</div>
<div class="cms_widget_content widget_content">
<vb:each from="articles" key="contentid" value="article">
<div class="cms_widget_post_bit widget_post_bit">
<div class="cms_widget_post_userinfo widget_post_userinfo">
<div class="cms_widget_post_useravatar widget_post_useravatar">
<vb:if condition="$article['showuser'] OR $article['settingsforboth'] == 2">
<vb:if condition="$article['avatar']">
<a class="comments_member_avatar_link" href="{vb:link member, {vb:raw article}}"><img alt="{vb:raw article.username}" src="{vb:raw vboptions.bburl}/{vb:raw article.avatar.0}" {vb:raw article.avatar.1} /></a>
<vb:else />
<img alt="{vb:raw article.username}" src="{vb:stylevar imgdir_misc}/unknown.gif" />
</vb:if>
<vb:else />
<img alt="" src="{vb:stylevar imgdir_misc}/unknown.gif" />
</vb:if>
</div>
</div>
<div class="cms_widget_post_comment widget_post_comment">
<vb:if condition="$article['showtitle'] OR $article['settingsforboth'] == 2">
<h4 class="cms_widget_post_header widget_post_header"><a href="{vb:raw article.page_url}">{vb:raw article.title}</a></h4>
</vb:if>
<div class="cms_widget_post_content widget_post_content">{vb:raw article.previewtext}... <a href="{vb:raw article.page_url}">{vb:rawphrase read_more}</a></div>
<vb:if condition="$article['showuser'] OR $article['settingsforboth'] == 2">
<a href="{vb:link member, {vb:raw article}}" class="username">{vb:raw article.username}</a>
</vb:if>
<a href="{vb:raw article.page_url}" class="lastpostdate understate" title="{vb:rawphrase go_to_last_post}"><vb:if condition="$article['showpublishdate'] OR $article['settingsforboth'] == 2">{vb:date {vb:raw article.publishdate}, {vb:raw vboptions.dateformat}}<vb:if condition="!$show['detailedtime']">, <span class="time">{vb:date {vb:raw article.publishdate} {vb:raw vboptions.timeformat}}</span></vb:if></vb:if></a>
<vb:comment>
<div class="searchcat">
<h4 class="searchlastpostlabel understate">{vb:rawphrase content} :</h4>
<span class="understate">{vb:rawphrase article}</span>
</div>
</vb:comment>
<vb:if condition="$article['categories']">
<div class="searchstats">
<h4 class="searchlastpostlabel">{vb:rawphrase categories}: </h4>
<vb:each from="article['categories']" key="categoryid" value="category">
<a href="{vb:raw category.category_url}">{vb:raw category.category}</a>
</vb:each>
</div>
</vb:if>
<vb:if condition="$article['tags']">
<div class="searchstats">
{vb:rawphrase tags}:
<vb:each from="article['tags']" key="tagid" value="tagtext">
<a href="{vb:raw vboptions.bburl}/tags.php?tagid={vb:raw tagid}">{vb:raw tagtext}</a>
</vb:each>
</div>
</vb:if>
</div>
</div>
</vb:each>
</div>
</div>
</div>