I'm very new to Illustrator. I have been taking a course and got lost. I have a dilemma. I am trying to type text in the shape of an object. The object happens to be a heart. I would like the text to curve around the wider part of the heart (about midway up) on the outside of the left side and end up at the point where both sides meet. Here are my questions:
1. When I open the image in illustrator (jpg 300 dpi) and do a live trace, make and expand why can't I get the type tool to make that circle or parenthesis shape in order to type on it? I hope that makes sense. I know I'm missing a step.
2. The image opens with a black box around it. The image is way larger than that box. I tried to hide bounding box but it didn't. I am using Illustrator CS 3.
Help! 
I would very much appreciate it. I've included the heart. 