The issue I am now having is that when I show a SWF file I do not see the animations, it just makes the SWF appear as if it was a still image.
I would appreciate any advice.
Rod confirms my answer.
A workaround, that is maybe not OK for you is to have the Animation on a Rollover slidelet, that is set initially to invisible. Cover up the rollover slidelet area with a click box. Have that click box trigger a standard advanced action with 2 statements: Show Rollover slidelet & Hide Click box. Since the user is over the rollover area when clicking the click box, the animation will play. I tried that out, it seems to work, but is bit cumbersome. If you want to return to the slide later on, you'll need to reset the situation (On Enter Slide event can trigger an action). If you want multiple clicks possible on the same slide, I .... give up.
The other way is to use micro navigation: click box will move the playhead to that point where the animation starts on the timeline. Again, this works perfectly if you want to have the animation play only once.