The birth of A.I?

Step 1: Program virtual reality with all known environmental properties, laws, processes etc.

Step 2: Program properties of DNA and laws of evolution.

Step 3: Fast forward simulation.

Step 4: Witness birth of unique 'life-forms" including sentient beings.

Is this possible? Even if we don't understand everything about the variables listed above, can't we just program the environment to act the way we want it to? Like being able to program how gravity behaves without having to know that matter warps space? Can we make a virtual reality where evolution takes place?

And if we could, should we?

Edit: I'm not asking if we can do this with current tech. Nor tech 5000 years from now. Lets say in the next 100 years.