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Typesetting is basically putting text on cleans, so making that...
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...look like this...
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The most important and basic principles are:
0. Having the correct settings [+] [-]
To typeset correctly, it is of utmost importance to have the correct settings. Set the anti-aliasing to "smooth" and have line spacing and tracking at (auto) and 0. Tracking and spacing can be changed, but it's best not to do so as long as you are not told to do so. On the left you can see typesetted text with the right settings; on the right there is typesetted text using the wrong settings.
1. Choosing fonts [+] [-]
2. Putting in text [+] [-]
3. Centering, shaping, font-size [+] [-]
4. Strokes on Offtexts [+] [-]
5. Rotating texts [+] [-]
More advanced stuff below:
Warping and rotating texts [+] [-]