This is my current favorite pattern for a knitted dishcloth. It can also be used as a baby washcloth. I went on knittingpatterncentral.com and then found this site:
http://www.sew-funky.com/cloth-patterns/cloths/?utm_source=Arkayne.com&utm_medium=Plugin&utm_campaign=SewFunky. This is the pattern called "Baby Star". She has some great, free patterns that are easy and quick. This camo cloth was done as part of a baby gift that had a coordinating camo quilt. My latest incarnation is using red, white and blue self-striping yarn to do a "Lone Star Dishcloth". These use only knit stitches and yarn overs on straight needles with short rows. You can get 2 cloths out of 1 ball of "Peaches & Cream" yarn. Warning-these are highly addictive!