Yea you can make beats on there. Just mix and loop sounds together.
If I was you though, I would start off with "Reaper." It's a freeware Acid type clone.
Check it out, definitely simple to use and same concept and features as Acid.
hXXp://www.cockos.com/reaper/
I personally would rather use FL Studio though than Acid. Or make your loops in FL Studio, then import them into Acid to arrange vocals and other samples with your beat. So FL Studio first, then go use Acid if you feel you have to.