Copy your Image and Paste it into your Illustrator File.

Command+C to Copy

Command+V to Paste

Use the Top Arrow to grab the corners of the image and resize it to the art board (the black line).

Hold Shift while you resize it so the image stays the right proportions. 

Find the Layer Tab 

Double Click on the Layer with the Image 

In the Layer Options Window Check the Template Box and click OK.

Next

Click on the small plus icon on the bottom to add a new layer. 

Use the Pen Tool to add Anchors at the spots where you want to create shapes. 

Click to add an Anchor. 

**If you Click and Drag when adding an Anchor it will create a rounded line. You can edit the curve of the line after by moving the handles attached. 

Click the First Anchor to close the shape. 

If you notice that you put an Anchor in the wrong spot you can move it with the White Arrow Tool. 

Click on the shape.

Click on the Anchor you want to move then drag it to the spot you'd like. 

Use the Pen Tool to go back and Add or Subtract Anchors.

To Add an Anchor hover the pen tool over the area you want to add it. The Pen tool will have a little plus sign + next to it. Click to add the anchor. 

To Subtract an Anchor hover over an exisitng Anchor. The Pen tool will have a subtract sign - next to it. Click to remove the Anchor. 

Click the Boxes that look like the ones in the photo. The Color Picker will pop up to change the color and stroke. 

Find the Layer Tab and click on the small plus icon on the bottom to add a new layer.