Individual learning capabilities can vary from gifted to exceptionally slow; some students may take longer to understand a concept and may not be able to achieve the expected standard. However, in a non-discriminative education system, one of the objectives is to motivate individuals to acquire new knowledge and understand concepts, no matter what their initial skills and knowledge levels may be. Students get motivated and will continue to learn only if they feel engaged and rewarded. In this paper we propose an interactive environment, using 3D rendering, for computer-based learning and testing. A novel approach to automatically assign difficulty levels to questions and to adaptively evaluate individual student performance is discussed along with some examples.