This handbook was designed to help Australian technical, adult, and further education (TAFE) teachers, especially those in vocational education areas, to assess and evaluate students. The guide contains seven chapters, each written so it can stand alone. At the beginning of each chapter is an explanation of what is to follow and a statement of the objectives that the chapter aims to cover. Chapters conclude with self-assessment exercises for readers and, where appropriate, suggested answers to the exercises are provided. The guide covers the following subjects: introduction to assessment, objectives of assessment, types of questions, test specifications, item analysis, validity and reliability of assessment instruments, and reporting results. Numerous examples are given throughout the chapters. (KC)