We use it for school closely supervised. I would not give a computer to a 5-7 year old but if you did, this would be the one so that when they brake it, it was not expensive. Consider what you want them to do with it (Please not surf the net) and maybe consider a Kindle fire or Samsung Tab or the like and then absolutely buy an Otterbox to protect it. We have all the above and we home school, 4 kids 2-10 use them but only supervised.
Yes, though i would highly advise reading reviews about this particular model as it does seem to have some quirks...i would recomend, just beware you may need some upgrades, especially memory, oh, and buy new...my refurbished system has some OS issues