How to automatically add user account AND password with a Bash script

Question

I need to have the ability to create user accounts on my Linux (Fedora 10) and automatically assign a password via a bash script(or otherwise, if need be).

It's easy to create the user via Bash e.g.:

[whoever@server ]#  /usr/sbin/useradd newuser

Is it possible to assign a password in Bash, something functionally similar to this, but automatically:

[whoever@server ]# passwd newuser
Changing password for user testpass.
New UNIX password:
Retype new UNIX password: 
passwd: all authentication tokens updated successfully.
[whoever@server ]#