diff --git a/.env b/.env
index 22852cf813..7b9229b9a3 100644
--- a/.env
+++ b/.env
@@ -45,7 +45,6 @@ HOTJAR_VERSION=6
 HOTJAR_DEBUG=false
 INVITE_STUDENTS_EMAIL_TO=''
 ENABLE_CHECKLIST_QUALITY=''
-ENABLE_GRADING_METHOD_IN_PROBLEMS=false
 # "Multi-level" blocks are unsupported in libraries
 LIBRARY_UNSUPPORTED_BLOCKS="conditional,step-builder,problem-builder,library_content,itembank"
 # Fallback in local style files
diff --git a/.env.development b/.env.development
index 8771be2830..9e25a53b35 100644
--- a/.env.development
+++ b/.env.development
@@ -48,7 +48,6 @@ HOTJAR_VERSION=6
 HOTJAR_DEBUG=true
 INVITE_STUDENTS_EMAIL_TO="someone@domain.com"
 ENABLE_CHECKLIST_QUALITY=true
-ENABLE_GRADING_METHOD_IN_PROBLEMS=false
 # "Multi-level" blocks are unsupported in libraries
 LIBRARY_UNSUPPORTED_BLOCKS="conditional,step-builder,problem-builder,library_content,itembank"
 # Fallback in local style files
diff --git a/.env.test b/.env.test
index 0421e80990..617eacb32f 100644
--- a/.env.test
+++ b/.env.test
@@ -40,7 +40,6 @@ ENABLE_TAGGING_TAXONOMY_PAGES=true
 BBB_LEARN_MORE_URL=''
 INVITE_STUDENTS_EMAIL_TO="someone@domain.com"
 ENABLE_CHECKLIST_QUALITY=true
-ENABLE_GRADING_METHOD_IN_PROBLEMS=false
 # "Multi-level" blocks are unsupported in libraries
 LIBRARY_UNSUPPORTED_BLOCKS="conditional,step-builder,problem-builder,library_content,itembank"
 PARAGON_THEME_URLS=
diff --git a/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/hooks.js b/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/hooks.js
index b86772923c..04ed2ccf29 100644
--- a/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/hooks.js
+++ b/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/hooks.js
@@ -173,12 +173,18 @@ export const scoringCardHooks = (scoring, updateSettings, defaultValue) => {
     updateSettings({ scoring: { ...scoring, weight } });
   };
 
+  const handleGradingMethodChange = (event) => {
+    const { value } = event.target;
+    updateSettings({ scoring: { ...scoring, gradingMethod: value } });
+  };
+
   return {
     attemptDisplayValue,
     handleUnlimitedChange,
     handleMaxAttemptChange,
     handleOnChange,
     handleWeightChange,
+    handleGradingMethodChange,
   };
 };
 
diff --git a/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/hooks.test.js b/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/hooks.test.js
index 079506716f..beba825ed6 100644
--- a/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/hooks.test.js
+++ b/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/hooks.test.js
@@ -147,6 +147,7 @@ describe('Problem settings hooks', () => {
         unlimited: false,
         number: 5,
       },
+      gradingMethod: 'last_score',
     };
     const defaultValue = 1;
     test('test scoringCardHooks initializes display value when attempts.number is null', () => {
@@ -269,6 +270,11 @@ describe('Problem settings hooks', () => {
       output.handleWeightChange({ target: { value } });
       expect(updateSettings).toHaveBeenCalledWith({ scoring: { ...scoring, weight: parseFloat(value) } });
     });
+    test('test handleGradingMethodChange', () => {
+      const value = 'first_score';
+      output.handleGradingMethodChange({ target: { value } });
+      expect(updateSettings).toHaveBeenCalledWith({ scoring: { ...scoring, gradingMethod: value } });
+    });
   });
 
   describe('Show answer card hooks', () => {
diff --git a/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/index.jsx b/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/index.jsx
index fd2d40b6ef..2e917acad7 100644
--- a/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/index.jsx
+++ b/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/index.jsx
@@ -203,6 +203,7 @@ SettingsWidget.propTypes = {
     showanswer: PropTypes.string,
     showResetButton: PropTypes.bool,
     rerandomize: PropTypes.string,
+    gradingMethod: PropTypes.string,
   }).isRequired,
   images: PropTypes.shape({}).isRequired,
   isLibrary: PropTypes.bool.isRequired,
diff --git a/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/index.test.tsx b/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/index.test.tsx
index 5a9e96341a..af216d5272 100644
--- a/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/index.test.tsx
+++ b/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/index.test.tsx
@@ -33,6 +33,7 @@ describe('SettingsWidget', () => {
       maxAttempts: 2,
       showanswer: 'finished',
       showResetButton: false,
+      gradingMethod: 'last_score',
     },
     images: {},
     isLibrary: false,
diff --git a/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/messages.ts b/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/messages.ts
index e915032539..a854ac67fc 100644
--- a/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/messages.ts
+++ b/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/messages.ts
@@ -82,6 +82,16 @@ const messages = defineMessages({
     defaultMessage: 'Points',
     description: 'Scoring weight input label',
   },
+  scoringGradingMethodInputLabel: {
+    id: 'authoring.problemeditor.settings.scoring.grading.method.inputLabel',
+    defaultMessage: 'Grading Method',
+    description: 'Grading method input label',
+  },
+  gradingMethodSummary: {
+    id: 'authoring.problemeditor.settings.scoring.grading.method',
+    defaultMessage: '{gradingMethod}',
+    description: 'Summary text for scoring grading method',
+  },
   unlimitedAttemptsSummary: {
     id: 'authoring.problemeditor.settings.scoring.unlimited',
     defaultMessage: 'Unlimited attempts',
@@ -107,6 +117,11 @@ const messages = defineMessages({
     defaultMessage: 'Specify point weight and the number of answer attempts',
     description: 'Descriptive text for scoring settings',
   },
+  scoringSettingsLabelWithGradingMethod: {
+    id: 'authoring.problemeditor.settings.scoring.label.withGradingMethod',
+    defaultMessage: 'Specify grading method, point weight and the number of answer attempts',
+    description: 'Descriptive text for scoring settings when grading method is enabled',
+  },
   attemptsHint: {
     id: 'authoring.problemeditor.settings.scoring.attempts.hint',
     defaultMessage: 'If a default value is not set in advanced settings, unlimited attempts are allowed',
@@ -117,6 +132,11 @@ const messages = defineMessages({
     defaultMessage: 'If a value is not set, the problem is worth one point',
     description: 'Summary text for scoring weight',
   },
+  gradingMethodHint: {
+    id: 'authoring.problemeditor.settings.scoring.grading.method.hint',
+    defaultMessage: 'Define the grading method for this problem. By default, it is the score of the last submission made by the student.',
+    description: 'Summary text for scoring grading method',
+  },
   showAnswerSettingsTitle: {
     id: 'authoring.problemeditor.settings.showAnswer.title',
     defaultMessage: 'Show answer',
diff --git a/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/settingsComponents/ScoringCard.jsx b/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/settingsComponents/ScoringCard.jsx
index 6b12e552a2..f93880e5f4 100644
--- a/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/settingsComponents/ScoringCard.jsx
+++ b/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/settingsComponents/ScoringCard.jsx
@@ -8,6 +8,7 @@ import { selectors } from '../../../../../../data/redux';
 import SettingsOption from '../SettingsOption';
 import messages from '../messages';
 import { scoringCardHooks } from '../hooks';
+import { GradingMethod, GradingMethodKeys } from '../../../../../../data/constants/problem';
 
 const ScoringCard = ({
   scoring,
@@ -23,28 +24,67 @@ const ScoringCard = ({
     handleUnlimitedChange,
     handleMaxAttemptChange,
     handleWeightChange,
+    handleGradingMethodChange,
     handleOnChange,
     attemptDisplayValue,
   } = scoringCardHooks(scoring, updateSettings, defaultValue);
 
-  const getScoringSummary = (weight, attempts, unlimited) => {
+  const getScoringSummary = (weight, attempts, unlimited, gradingMethod) => {
     let summary = intl.formatMessage(messages.weightSummary, { weight });
     summary += ` ${String.fromCharCode(183)} `;
     summary += unlimited
       ? intl.formatMessage(messages.unlimitedAttemptsSummary)
       : intl.formatMessage(messages.attemptsSummary, { attempts: attempts || defaultValue });
+
+    const methodMessage = GradingMethod[gradingMethod || GradingMethodKeys.LAST_SCORE];
+
+    if (methodMessage) {
+      summary += ` ${String.fromCharCode(183)} `;
+      summary += intl.formatMessage(messages.gradingMethodSummary, {
+        gradingMethod: intl.formatMessage(methodMessage),
+      });
+    }
+
     return summary;
   };
 
   return (
     <SettingsOption
       title={intl.formatMessage(messages.scoringSettingsTitle)}
-      summary={getScoringSummary(scoring.weight, scoring.attempts.number, scoring.attempts.unlimited)}
+      summary={getScoringSummary(
+        scoring.weight,
+        scoring.attempts.number,
+        scoring.attempts.unlimited,
+        scoring.gradingMethod,
+      )}
       className="scoringCard"
     >
       <div className="mb-4">
-        <FormattedMessage {...messages.scoringSettingsLabel} />
+        <FormattedMessage {...messages.scoringSettingsLabelWithGradingMethod} />
       </div>
+      <Form.Group>
+        <Form.Control
+          as="select"
+          value={scoring.gradingMethod || GradingMethodKeys.LAST_SCORE}
+          onChange={handleGradingMethodChange}
+          floatingLabel={intl.formatMessage(messages.scoringGradingMethodInputLabel)}
+        >
+          {Object.values(GradingMethodKeys).map((gradingMethod) => {
+            const optionDisplayName = GradingMethod[gradingMethod];
+            return (
+              <option
+                key={gradingMethod}
+                value={gradingMethod}
+              >
+                {intl.formatMessage(optionDisplayName)}
+              </option>
+            );
+          })}
+        </Form.Control>
+        <Form.Control.Feedback>
+          <FormattedMessage {...messages.gradingMethodHint} />
+        </Form.Control.Feedback>
+      </Form.Group>
       <Form.Group>
         <Form.Control
           type="number"
diff --git a/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/settingsComponents/ScoringCard.test.jsx b/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/settingsComponents/ScoringCard.test.jsx
index e5f632a392..6e05f50cca 100644
--- a/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/settingsComponents/ScoringCard.test.jsx
+++ b/src/editors/containers/ProblemEditor/components/EditProblemView/SettingsWidget/settingsComponents/ScoringCard.test.jsx
@@ -4,6 +4,7 @@ import {
 } from '@src/testUtils';
 import ScoringCard from './ScoringCard';
 import { selectors } from '../../../../../../data/redux';
+import { GradingMethodKeys } from '../../../../../../data/constants/problem';
 
 const { app } = selectors;
 
@@ -14,6 +15,7 @@ describe('ScoringCard', () => {
       unlimited: false,
       number: 5,
     },
+    gradingMethod: GradingMethodKeys.LAST_SCORE,
     updateSettings: jest.fn().mockName('args.updateSettings'),
   };
 
@@ -59,6 +61,17 @@ describe('ScoringCard', () => {
     expect(props.updateSettings).toHaveBeenCalled();
   });
 
+  test('should call updateSettings when changing grading method', () => {
+    render(<ScoringCard {...props} />);
+    fireEvent.click(screen.getByText('Scoring'));
+    const gradingSelect = screen.getByRole('combobox', { name: 'Grading Method' });
+    expect(gradingSelect).toBeInTheDocument();
+    expect(gradingSelect.value).toBe(GradingMethodKeys.LAST_SCORE);
+
+    fireEvent.change(gradingSelect, { target: { value: GradingMethodKeys.HIGHEST_SCORE } });
+    expect(props.updateSettings).toHaveBeenCalled();
+  });
+
   test('should call updateSettings when clicking attempts button', () => {
     const scoringUnlimited = { ...scoring, attempts: { unlimited: true, number: 0 } };
     render(<ScoringCard {...props} scoring={scoringUnlimited} />);
diff --git a/src/editors/containers/ProblemEditor/data/ReactStateSettingsParser.js b/src/editors/containers/ProblemEditor/data/ReactStateSettingsParser.js
index 7cad5b16ad..b8d292b35a 100644
--- a/src/editors/containers/ProblemEditor/data/ReactStateSettingsParser.js
+++ b/src/editors/containers/ProblemEditor/data/ReactStateSettingsParser.js
@@ -33,6 +33,7 @@ class ReactStateSettingsParser {
 
     settings = popuplateItem(settings, 'number', 'max_attempts', stateSettings.scoring.attempts, defaultSettings?.maxAttempts, true);
     settings = popuplateItem(settings, 'weight', 'weight', stateSettings.scoring);
+    settings = popuplateItem(settings, 'gradingMethod', 'grading_method', stateSettings.scoring);
     settings = popuplateItem(settings, 'on', 'showanswer', stateSettings.showAnswer, defaultSettings?.showanswer, true);
     if (includes(numberOfAttemptsChoice, stateSettings.showAnswer.on)) {
       settings = popuplateItem(settings, 'afterAttempts', 'attempts_before_showanswer_button', stateSettings.showAnswer);
diff --git a/src/editors/containers/ProblemEditor/data/SettingsParser.js b/src/editors/containers/ProblemEditor/data/SettingsParser.js
index 55a84349f6..78a6959761 100644
--- a/src/editors/containers/ProblemEditor/data/SettingsParser.js
+++ b/src/editors/containers/ProblemEditor/data/SettingsParser.js
@@ -43,6 +43,7 @@ export const parseScoringSettings = (metadata, defaultSettings) => {
   scoring = { ...scoring, attempts };
 
   scoring = popuplateItem(scoring, 'weight', 'weight', metadata);
+  scoring = popuplateItem(scoring, 'grading_method', 'gradingMethod', metadata);
 
   return scoring;
 };
diff --git a/src/editors/data/constants/problem.ts b/src/editors/data/constants/problem.ts
index ab622123be..a0be26389d 100644
--- a/src/editors/data/constants/problem.ts
+++ b/src/editors/data/constants/problem.ts
@@ -364,6 +364,34 @@ export const RandomizationTypes = StrictDict({
   },
 } as const);
 
+export const GradingMethodKeys = StrictDict({
+  LAST_SCORE: 'last_score',
+  HIGHEST_SCORE: 'highest_score',
+  AVERAGE_SCORE: 'average_score',
+  FIRST_SCORE: 'first_score',
+});
+
+export type GradingMethodKey = typeof GradingMethodKeys[keyof typeof GradingMethodKeys];
+
+export const GradingMethod = StrictDict({
+  [GradingMethodKeys.LAST_SCORE]: {
+    id: 'authoring.problemeditor.settings.gradingmethod.last_score',
+    defaultMessage: 'Last score (Default)',
+  },
+  [GradingMethodKeys.HIGHEST_SCORE]: {
+    id: 'authoring.problemeditor.settings.gradingmethod.highest_score',
+    defaultMessage: 'Highest score',
+  },
+  [GradingMethodKeys.AVERAGE_SCORE]: {
+    id: 'authoring.problemeditor.settings.gradingmethod.average_score',
+    defaultMessage: 'Average score',
+  },
+  [GradingMethodKeys.FIRST_SCORE]: {
+    id: 'authoring.problemeditor.settings.gradingmethod.first_score',
+    defaultMessage: 'First score',
+  },
+});
+
 export const RichTextProblems = [ProblemTypeKeys.SINGLESELECT, ProblemTypeKeys.MULTISELECT] as const;
 
 export const settingsOlxAttributes = [
@@ -374,6 +402,7 @@ export const settingsOlxAttributes = [
   '@_show_reset_button',
   '@_submission_wait_seconds',
   '@_attempts_before_showanswer_button',
+  '@_grading_method',
 ] as const;
 
 export const ignoredOlxAttributes = [
diff --git a/src/editors/data/redux/index.ts b/src/editors/data/redux/index.ts
index effe1a7164..195b63606f 100644
--- a/src/editors/data/redux/index.ts
+++ b/src/editors/data/redux/index.ts
@@ -9,7 +9,7 @@ import * as video from './video';
 import * as problem from './problem';
 import * as game from './game';
 import type { RequestKeys, RequestStates } from '../constants/requests';
-import { AdvancedProblemType, ProblemType } from '../constants/problem';
+import { AdvancedProblemType, type GradingMethodKey, ProblemType } from '../constants/problem';
 
 export { default as thunkActions } from './thunkActions';
 
@@ -175,7 +175,8 @@ export interface EditorState {
       randomization: null | any; // Not sure what type this field has
       scoring: {
         weight: number;
-        attempts: { unlimited: boolean; number: number | null; }
+        attempts: { unlimited: boolean; number: number | null; };
+        gradingMethod: GradingMethodKey;
       },
       hints: any[];
       timeBetween: number;
diff --git a/src/editors/data/redux/problem/reducers.ts b/src/editors/data/redux/problem/reducers.ts
index 95189dadb7..e7fc0a4cba 100644
--- a/src/editors/data/redux/problem/reducers.ts
+++ b/src/editors/data/redux/problem/reducers.ts
@@ -2,7 +2,7 @@ import { has } from 'lodash';
 import { createSlice } from '@reduxjs/toolkit';
 import { indexToLetterMap } from '../../../containers/ProblemEditor/data/OLXParser';
 import { StrictDict } from '../../../utils';
-import { ProblemTypeKeys, RichTextProblems } from '../../constants/problem';
+import { GradingMethodKeys, ProblemTypeKeys, RichTextProblems } from '../../constants/problem';
 import { ToleranceTypes } from '../../../containers/ProblemEditor/components/EditProblemView/SettingsWidget/settingsComponents/Tolerance/constants';
 import type { EditorState } from '..';
 
@@ -29,6 +29,7 @@ const initialState: EditorState['problem'] = {
         unlimited: true,
         number: null,
       },
+      gradingMethod: GradingMethodKeys.LAST_SCORE,
     },
     hints: [],
     timeBetween: 0,