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In a series of two "in vivo" experiments, we examine whether correct and incorrect examples with prompts for self-explanation can be effective for improving students' conceptual understanding and procedural skill in Algebra when combined with guided practice. In Experiment 1, students working with the Algebra I Cognitive Tutor were randomly assigned to complete their unit on solving two-step linear equations with the traditional Tutor program (control) or one of three versions which incorporated examples; results indicate that explaining worked examples during guided practice leads to improved conceptual understanding compared with guided practice alone. In Experiment 2, a more comprehensive battery of conceptual and procedural tests was used to determine which type of examples is most beneficial for improving different facets of student learning. Results suggest that incorrect examples, either alone or in combination with correct examples, may be especially beneficial for fostering conceptual understanding. (Contains 4 figures and 3 tables.)