We studied 52 parent-child dyads reading an alphabet book to examine the nature of children's miscues and parents' feedback, and whether miscues and feedback were related to each other and to preliteracy skills. Letter knowledge, phonological awareness, and expressive vocabulary were assessed in 5-year-old nonreaders who were also audiotaped reading an alphabet book at home with their parent. Results indicate that after controlling for vocabulary, children with higher phonological awareness more often labeled objects with a name beginning with the page's target letter. Parents provided substantial sustaining feedback after miscues, as though using alphabet books as a way of fostering their child's literacy. Findings highlight the need to consider both the child's skill-base and parent-child interactions to understand the role of alphabet books in literacy development. (Contains 6 tables.)