I have adobe photoship 7. Is that a recent enough version for usage in this field? Is there a later verion out?

Any version of Photoshop 4 and up is capable to doing all you need in ID, imho. The later versions of Photoshop simplify certain functions increasing efficiency, but essentially, where there is a will, there is a way!

Adobe is a company.
They need to push out new products, new versions.
They aren’t going to close shop after making a software that does stuff.

A 1982 dodge can get you where you want to go, but dodge makes new models every year.

There’s no point to this response.