Is your document grayscale?
Try Image - Mode - RGB in order to accommodate color.
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Set stroke to "Inner" for square corners.
Noel, I finally figured it out.
That was the problem ... that it was in grayscale.
But I had no idea about no image - mode. Perhaps it already came in grayscale from the scanner.
I'm new to this software.
Conroy, thanx for the tip.
Thank you so much guys, you've saved me a lot of time.
By the way, how do you make a rectangle without the border line?
I tried making a white rectangle without the thin black border line but I couldn't figure out how to remove it.
I know the solution must be quite simple but I just haven't gotten used yet to the photoshop menu.
If you're not using CS6, is the thin border not just a Path showing while the rectangle is selected? Does the border not disappear if you deselect the rectangle? Or maybe you are using a Layer Style Stroke without realising it.
I'm using Adobe Photoshop CS3 Extended.
With Ps CS3, you'll probably want to define a Layer Style for a Stroke and then use that with the Square Shape Layers.
This is a Stroke of 4 px, 'Centered' (so a very slight corner rounding on the outside edge. 'Inside' will give you square corners for both inside and outside edges). To change the color of the stroke, go to Layer> Layer Style> Stroke and change the color by clicking on the color bar.