1. The first step is to go to your course homepage, and select Grades
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2. Click Grades from the dropdown menu
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3. Click Manage Grades
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4. Click New
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5. Click Item from the dropdown
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6. Here is where you select what type of grade item it will be. 'Numeric' is most traditional, but choose whichever type best applies
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7. Click Name and type the name of the grade item
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8. Scroll down and click the Category dropdown (this is optional, especially in a points-based grade book)
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9. Select the appropriate category that you want this grade item in
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10. Click the Maximum Points box, and enter how many points the grade item is worth
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11. Scroll down and click Save and Close
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12. Now the grade item is associated with the grade category of your choosing. Thats it, you're finished
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