URL Alias leading to Page Not Found on multilingual site

I had a problem - as many others - and I couldn't really find a step -by-step guide or just a short description on how to solve this issuse.
So I have created this for helping others in the future.

My problem was:
I have three languages: Danish - Default (dk), English (en), and German (de). When creating a content in Danish, the path was looking like this: www.example.com/some-url-alias which was just working as it should. BUT when translating this content, the url - generated by the pathauto module - was looking like this: www.example.com/en/some-other-url - This was giving me a "Page not found" - although I could I access the node by the www.example.com/node/17.
As I understand many people has the same issue.

Here is how I have solved it:
I have installed: Subpath URL alias: http://drupal.org/project/subpath_alias
This didn't helped the first time!
I have edited under Site config > Languages each language so they DO have a path prefix. I had a feeling that in my case the system was confused that English was not the default language.
I have cleared the cache under: Site Maintanence > Preformance > Cleared cahed data
I have set under Site building > URL aliases > Automated URL settings > Node path I have cleared (!) the "en/" and "de/" and "dk/" I have placed only: [title-raw].
Afterwards I have deleted all my aliases generated from before, and Bulk generated new ones under: Site building > URL aliases > Automated URL settings > Node path "Bulk generate if the path doesn't exist".
And voila!
Now it works!

I don´t know if some if these steps are unnecessary, you can try. But for me it helped.
Good luck with it ;)