Encapsulated postscript (eps) is a high quality format for describing images. Many graphics packages can output an image in .eps format. It is possible to insert these images into Word, but you may need to update Word with new graphics filters. Microsoft documents how to do this at: http://support.microsoft.com/kb/290362
Here are the most relevant lines from that document:
| 1. | Quit all Microsoft Office programs. | ||||
| 2. | Click Start, point to Settings,
and then click Control Panel. Note In Microsoft Windows XP, click Start, and then click Control Panel. |
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| 3. | In Control Panel, double-click Add/Remove Programs. | ||||
| 4. | Do one of the following:
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| 5. | Click to select Add or Remove Features, and then click Next. | ||||
| 6. | In the Features to install list, click to expand Microsoft Office. | ||||
| 7. | Click to expand Office Shared Features. | ||||
| 8. | Click to expand Converters and Filters. | ||||
| 9. | Click to expand Graphics Filters. | ||||
| 10. | Click the icon for the graphics filter that you want to install, and then click to select Run all from my computer on the shortcut menu that appears. | ||||
| 11. | Click Update. |
Step 4 looks like this:

The next screen looks like this:

Be sure to click "Choose advanced customization of applications". Next, click to expand "Shared Features":

Then "Converters and Filters", then "Graphics Filters":

Now click Encapsulated Postscript (EPS) File Import, Run from my computer, and then Update. This may or may not require your installation disks, I just don't know.