you can use spset first to create the sprite, like spset id#,u,v,w,h
where u,v is the top left coordinates of your sprite on ur spritesheet, and w,h is the height and width in pixels. then u can use spofs id#,x,y to move it wherever you want.
z, you're overcomplicating things.
Use SPSET id#,def# to create your sprite and tell how it looks.
def# is 0-511, you can see them in the SmileTOOL SPDEF section.