Ok, so I got the entity to sit in the centre of the green surround but I am still having problems with this off target hit but have discovered some new things.
If I put the entity into fps and shoot at it, the original problem happens- the target can be hit when the shot is not quite on target. This seems to be a problem with all entities that I can put in including stock characters that I have not made. However, it only seems to be a problem with entities and not objects. I can make my zebra an object using 'makeentitiesfromxfiles' and then when I insert it into FPS it clears up the non accurate hits problem.
Brilliant I thought, until I realised that none of the movement scripts using waypoints will work with an object, only an entity. As soon as I use the command 'ischaracter=1' in my object FPE file then the entity targetting problem comes back.
I seem to have a choice of non accurate hitting of my model but with model movememt or accurate hitting of my model but it can't move. If anyone can tell me how to make objects follow waypoints without turning them into entitiy's, or how to ensure my entity only gets hit when it actually has a hit on target, then you will save me from abandoning my project. I've run out of ideas.
Please help

???