Magento

I have just started working with Magento within the last week and have been familarizing myself with the system. My problem is that i dont know how to add images into the home page. I have been reading other posts and searched the magento system and know that the standard HTML tag (img) doesnt work. i know that this topic has come up several times already but i still cant get mine to work. If someone can give me a step to step guide on adding images i would be very grateful.

Studio

I have just added <img src="http://127.0.0.1/magento/skin/adminhtml/default/default/images/logo.gif" /> to my Home page Content, and the logo showed correctly.