drupal 7 TinyMCE and WYSIWYG not sizing the images I select properly. Image Resize Filter doesn't work either

I am using WYSIWYG and tinyMCE. I select an image by clicking on the insert/edit image icon in WYSIWYG toolbar, and I can clearly see in the File Browser that it is 64px by 64px. When I click on the 64x64 image, it displays below in the preview window filling the preview area, which is bigger than 64 pixels. I click on that huge image and come to insert/edit image dialog box, where now the image shows properly in that preview area. But, when I click Insert, the image inserts as full width of that body dialog box. If I click on the Appearance tab in the insert/edit image dialog box, 64 and 64 are displayed already as the dimensions. But the image is not rendering that way, it is ignoring the dimensions. I don't understand why this is happening. I tried using the Image Resize Filter, I have enabled it and checked it's box in the Config/Content Authoring/Text Formats/Full HTML. I don't see anything I can work with when creating or editing Basic Pages. I know it is there though because when I go in to the html to add css to the img tag (style="width:20%;") removing the height attribute, I get an error message from Image Resize Filter because the height attribute is missing. The only way at this point I can see to make it work is to teach my client how to go into the html after she inserts an image an manually edit the img tag as I did. I don't want her to have to do this.