How do i change the collision box position? As you can see in the picture i have set up a small resized cube and made it a ridgid body however the collision of it is not in the same position as the cube how can i move it to fit?
From the screenshot it looks like the origin is off center (the small yellow dot in the center of the collision bounds box). In object mode select your cube and in the tools panel, under the 'Tools" tab click the 'Set Origin' dropdown and choose 'Origin to Geometry'. That will snap the origin back into the cube where it belongs.