This paper presents the result of a embedded assessment technique used to evaluate student learning outcome of online laboratories in an optical circuits course. The laboratories are remotely controlled experiments using actual optical equipment controlled using labview. Students conduct the experiments remotely and collect real data. The labs are conducted in three steps. First, the student views a video presentation that explains the overall experiment, how it is set up and how to read and collect the data. Second, each student performs a simulation to enforce the concepts. Finally, each student runs the experiment, collects the data and writes the report. Each set of report questions includes calibrated questions that are used to perform formative learning assessment.