Your third step is to configure how the wizard works with the Grades tool to configure how you assess learners in your course.
The wizard displays the system that is currently in place, but you can edit which one to use. This takes you out of the wizard and into the grades tool.
Check the linked topic for information on understanding grading systems.
Categorize the graded items for each module as they should appear in the grades tool. The selections available in the drop-down menus for each item are taken from the Grades tool. If the ones available do not suit what you need, you can create a new category.