This invention provides a digital camera having a watermarking function that obviates the need to set various settings again upon setting of an image sensing mode and embedding mode. To this end, an image recording apparatus according to the invention, which includes an image sensing means for sensing an object and a means for embedding predetermined data in image data obtained by the image sensing, comprises a means for setting a first item for defining a mode for the image sensing, and a means for setting a second item for defining a mode for the embedding on the basis of the first item. The image sensing means senses an object on the basis of the first item. The embedding means executes the embedding on the basis of the second item. Alternatively, the apparatus is configured such that the sequence of setting of items for defining an embedding mode and image sensing mode is reversed.