To answer your question about man being made in God's image, we must first establish what God's image means.
Here are some cogent references:
Genesis chapter 1 KJV
1:26 And God said, Let us make man in our image, after our likeness: and let them have dominion over the fish of the sea, and over the fowl of the air, and over the cattle, and over all the earth, and over every creeping thing that creepeth upon the earth.
1:27 So God created man in his own image, in the image of God created he him; male and female created he them.
Obviously it could not mean physical appearance since man and woman are dissimilar.
So what is the image of God that is referred to in verses 1:26 and 27? To find the answer to that we have to go back the original Hebrew scriptures:
H6754 צֶּלֶם tselem (tseh'-lem) n-m.
1. a phantom, i.e. (figuratively) illusion, resemblance
2. (hence) a representative figure, especially an idol
So we see in the original Hebrew that it has to do not with any material aspect, but with a Spiritual aspect.
Which only stands to reason since all material things were created by and for him. And God existed before any material thing So God must be all Spiritual (you may call that state by some other name, but the concept is still the same).
That leaves us to ponder then what does being made in the image of God mean?
As near as I can determine from all of the Scriptures I have studied, it means that we are made in the concept of the Trinity, or in other words in three parts.
I take that to mean body, Spirit and Soul. Even beyond that in studying Genesis I came to the decision that the following Scripture gave a deeper meaning to murder than just the loss of life for the man because of the statement that man was made in the image of God. Of course that is only my thoughts and I was wrong once a long time ago.
Genesis 9:6 KJV
Whoso sheddeth man's blood, by man shall his blood be shed: for in the image of God made he man.
I also take that to justify capitol punishment, but that's another argument entirely.
Genesis 5:3 KJV tells me that we are all in the image of God.
And Adam lived an hundred and thirty years, and begat a son in his own likeness, after his image; and called his name Seth: