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Creating an assignment is very easy: Just click the Create Assignments link in the Actions menu on the left hand side. You'll be taken to a screen where you can create the assignment, set the due date, and upload any documents that you might want to add.
Once you've created the assignment, it will show up in the view page of your course. Then, to complete the assignment, all participants have to do is click on the Submit Assignment link next to the name of the assignment.
Once particiapants have completed their assignments, they will be visible in the assignments window in the course view. You'll see, next to the submission link, a number in a bracket - this is the number of assignments that have been submitted. If you click on View, under that number, you'll be able to see the submissions, and comment on them, just like in a blog.
To grade the assignments, click on the Admin tab on the top of the course page. You'll see a window on the left hand side of the page, which is titled "Evaluate Submissions". Click on the dropdown menu next to each name and assignment, and you'll be able to grade each assignment as either Pass, Incomplete or Ungraded.