Another method:
Cut applique and pellonfusible web out together. Center on background, fuse in place, then finish with satin stitch or stich of your choice. Applique edges can also be covered with fabric paint. Cute on kids clothes.
The balloons are a very simple applique, the lessons are going to be more in detail as we go along. If you have never done applique before choose something really simple to get the feel of it.