This video talks briefly about the Lesson activity in Moodle. It is shown from the student's point of view from the beginning of the lesson through to the end.
There are many different options for setting up your Lesson activity, and it all really depends on your individual class and the content you're presenting. There are different question types that can be added. In this video you'll see only True/False questions and multiple choice, which allow the Lesson to be automatically graded once the student reaches the end. Using essay or short answer questions would require the instructor to manually grade the Lesson upon its completion.
If you're interested in more interactive features than what I shared in this video, such as "adaptive learning" that changes the course of the lesson depending on the answers given by students, you should check out the following Moodle Docs page:
https://docs.moodle.org/310/en/Lesson_activityGuidance on building your lessons can be seen here:
https://docs.moodle.org/310/en/Building_Lesson