In an effort to evaluate the undergraduate pass-fail option system of grading at the University of Texas at Austin, 869 undergraduate students, 269 faculty members, and 35 administrators participated in a questionnaire survey. Results indicated: (1) During the 1973 fall semester, 3,896 undergraduate course registrations out of a total of 155,133 were recorded for courses being taken on a pass-fail option basis. (2) From an examination of the incidence of registrations on a pass-fail option basis within colleges and schools, it is clear that a wide variance in practice exists. Optional pass-fail enrollment in the schools of the university ranged from a high of 166 in the School of Communications to a low of 30 in the School of Architecture. On an absolute basis, the number of enrollments within a college ranged from over 1,000 in the College of Social and Behavioral Sciences to less than 50 in the College of Engineering and the College of Pharmacy. (3) Students who selected a pass-fail option course were somewhat different from the ABCDF students. With respect to indexes of academic potential and performance, a small but consistent superiority was noted in favor of the pass-fail students. Additional results are included. (MJM)