Acoustic cavitation is the fundamental process responsible for the initiation of most of the sonochemical reactions in liquids. Acoustic cavitation originates from the interaction between sound waves and bubbles. In an acoustic field, bubbles can undergo growth by rectified diffusion, bubble-bubble coalescence, bubble dissolution or bubble collapse leading to the generation of primary radicals and other secondary chemical reactions. Surface active solutes have been used in association with a number of experimental techniques in order to isolate and understand these activities. A strobe technique has been used for monitoring the growth of a single bubble by rectified diffusion. Multibubble sonoluminescence has been used for monitoring the growth of the bubbles as well as coalescence between bubbles. The extent of bubble coalescence has also been monitored using a newly developed capillary technique. An overview of the various experimental results has been presented in order to highlight the complexities involved in acoustic cavitation processes, which on the other hand arise from a simple, mechanical interaction between sound waves and bubbles.