How can i download a book that i bought on itunes and put it in my ibooks so that i can read it on my itouch?

I recently got my brother's old iTouch iPod for x-mas.  In addition to the music i've put on it i thought it  might be cool to read books on it so i bought a book ("Tweak" by Nic Sheff) and tried to put it on my iTouch/pod by dragging and dropping it in the section.  It told me that i could not do that because i needed to first download the app iBooks.  So i proceeded to download the app and put that on my iTouch/Pod and that was all well and succesful, but then i tried again to drag and drop the book.  It shows the book as being on my iTouch/Pod when it is plugged into my computer, like it says on my computer's iTunes that the book is on the iTouch/Pod, but when i look for it on my iTouch/Pod i cannot find it in my iBooks app, nor can i find it inany other section or any other part.  I'm thoroughly confused.  Does anyone understand what i'm trying to ask/Have i explained my problem well enough?  Please, pleaseeee can someone help a sister out?  Your help would be so greatly appreciated.
Sincerely,
A not-so-savvy individual named elizabeth
p.s. i am not entirely sure about the operating system i have selected, i took a guess at that. it says iTunes 10 on my iTunes. not sure about the iPod/Touch, can not find anything on there.

Welcome to the Apple Community Elizabeth.
You should be able to access any book you have purchased from iTunes anywhere.
Do you have settings > iBooks > Show all purchases turned on.

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