This study, carried out in 1975-1976 and reported in this document, focused on the following aims: to identify specific tasks and competencies associated with basic literacy and numeration skills which children in Australia need to master; to prepare appropriate performance (criterion-referenced) tests to measure levels of competence of 10- and 14-year-old children in the basic skills of reading, writing, and arithmetic; to estimate the number of children failing to attain basic literacy and numeration skills; and to specify relationships between various other factors (e.g., age, grade, ethnic origin, and sex) and the attainment of specific levels of competence in reading, writing, and numeration. This report provides a summary of the item results with examples and illustrations of item performance. Chapters deal with assessing literacy; the populations and the samples; objectives, tasks, and item development; administration of the testing program; physical handicaps and learning problems; performances in reading, writing, and numeration; and differences in performance between student groups. (JM)