The Quiz activity in Moodle allows a teacher to design and build quizzes consisting of a large variety of question types, including multiple-choice, true-false, short answer, and drag and drop images and text.

Note: a key thing to understand about using Moodle for quizzing is that questions for ALL quizzes “live” in the question bank. You will create a quiz and add the questions to it either one at a time or from the question bank you create. The videos are super helpful.

Moodle Documentation