This text teaches structured programming skills using the functional language Miranda. Written as an explanatory book for those with little programming experience it provides an introduction to the theory of programming and encourages the reader to develop sound software design techniques. The tutorial style shows both correct and incorrect approaches to problem solving. There is also demonstration of the expressive power of functional programming, and examples which highlight large-scale software engineering issues. Based on "Programming with Standard ML", the authors have "translated" from SML to Miranda and revised the book in light of lecturers" comments. It is designed for first and second year undergraduates who need to understand the basics of functional programming with Miranda (Release 2).