Yes, iPads can take good pictures. The iPad 3 can take some good ones, but is kind of awkward to use. I have an iPad 3; have not seen the iPad 4 yet, but have read it has a better camera than the previous versions.
Here's another website with iPad 3 pictures.
You can zoom. You use two fingers on the screen to zoom in or out.
We just got back and I saw people using iPads and other tablets to take pictures.
I saw people taking pictures with an iPhone and apparently sending them directly to the iPad to view. You could do that with wifi or with a cellular connection. I also saw several people who were apparently visually impaired using the iPad as their camera. Because of the large size, they could take and see their photos.
My youngest DD uses an iPad as her communication device because she can't speak. We had the iPad in a very protective silicone case with a hand strap and a shoulder strap. So, her iPad was pretty well protected.
What really surprised me was the nu bet of people I saw carrying an iPad or other tablet around with a very light duty case, and even a few carrying it around with no case on at all.