Watermark: Can't upload image file for watermarking

I can't seem to upload (choose) a file to create an image-watermark. When I choose (double-click) an image file, nothing happens on the process recipe tool, or the loaded image that I wish to output. I have tried playing with the watermark adjustments and uploading different sizes of image in both jpeg and PNG formats, no file seems to stick.
I am successful when I use a text-watermark (the text-watermark shows on the variant that I am working on).
I was also able to use image-watermarking in previous versions of C1.
Currently using version 11 on MAC.

Suggestions? Thank you!