WordPress Environment for Hands-On Learning

Setting up a collaborative / hands-on learning environment to teach WordPress to a group of students.

Right now, I have setup a hosted account with separate subdomains for each student to work in.

I chose not to do Multi-site because I wanted the students to experience all the administrative capabilities of a standalone wordpress.

Looking for advice on the other ways to setup a development environment that students can experience all the administrative capabilities and that I can “wipe” out when they are done for the next class.

Thanks