This report describes the design, development, and formative evaluation of a computer-managed instruction (CMI) system in a university setting. The system, implemented on an IBM 1500 Instructional System, is designed to serve an undergraduate educational psychology course for teacher trainees. Two broad goals are defined for the project: satisfactory post-instructional student performance; and positive affective outcomes with regard to the subject matter and the instruction/evaluation system. Subject matter is structured into five modules: 1) Computers in Education; 2) Classroom Management; 3) Tests and Measurement; 4) Cultural Differences; and 5) Statistics. The introduction, behavioral objectives and sample test items for each module are presented in appendices to the report. Only the data regarding performance measures are presented in this report. Evaluation of the affective aspects of the system will be discussed in subsequent reports. Based on project trials and initial use, modules and evaluation instruments have been revised. (JB)