Below is the process I recommend for creating and translating stories, based on the setup described in other articles (Creating Hidden Containers to Deal with i18n Category Menu Issues, Allowing the Client to Choose Where Breadcrumbs Fall):
Create a Container
1. create content -> container
2. Title: "TEST"
3. Container information ->
Parent: "*****ENGLISH*****" (type * on your keyboard, possibly more than one time, to get to it)
Types: "story"
Hierarchy: single, multiple-select
4. Category display settings -> (whatever you would like here; below are some suggested settings which you may want to use for all containers, categories, and stories)
Show prev, next, and up links: disabled
Display TOC within this container: disabled
Display TOC within this container: disabled
Show links to categories on assigned nodes: checked
Show message if no posts: unchecked
Show node listings: checked
5. Category menu items ->
Menu items within this container: "Enabled"
Menu items for assigned nodes: "Enabled (breadcrumbs only)"
6. [do not alter menu settings]
7. URL path settings: "test"
8. Submit
Create a Category (for the container "TEST")
1. click on 'TEST' ( example.com/en/test)
2. click 'add child category'
3. Title: "Test category"
4. Container: "TEST" (should already be set)
5. Parent: "TEST"
(should already be set)
6. [do not alter menu settings]
7. URL path settings: "test/test"
8. Submit
Create a Story (for the category "Test category")
1. create content -> story2. Title: "Test story"
3. Body: "Test"
3. Container: "TEST"
4. Parent: "Test category" (click * on your keyboard to get to English, then scroll down)
5. Categories: "Test category"
6. [do not alter menu settings]
7. URL path settings: "test/test/test" (NOTE: if there are multiple categories to which this story belongs, you should set this URL alias to match the category with the lowest weight (e.g., "About Us", rather than "Programs"), so that it matches the unique breadcrumb created by the category system)
8. Submit
Translate a Container
1. click on 'TEST' (example.com/en/test)
2. click on Translation tab
3. Francais -> Create translation
4. Title "TEST (FR)"
5. Parent "*****FRENCH*****"
6. [do not alter url path settings]
7. Submit
Translate a Category
1. click on 'Test category' ( example.com/en/test/test)2. Translation tab
3. Francais -> Create translation
4. Title "Test category (FR)"
5. Container: "TEST (FR)"
6. Parent: "TEST (FR)"
7. [do not alter url path settings]
8. Submit
Translate a Story
1. click on 'Test story' (example.com/en/test/test/test)2. Translation tab
3. Francais -> Create translation
4. Title "Test story (FR)"
5. Container: "TEST (FR)"
6. Parent: "Test category (FR)"
7. Categories: "Test category (FR)"
8. [do not alter url path settings]
9. Submit More Notes on Setting up a Drupal Site for Internationalization.

