This report presents information regarding Zone of Proximal Development (ZPD) guidelines as they relate to the Accelerated Reader program. The report states that a student's zone of proximal development is the range of book readability levels that will challenge a student without causing frustration or loss of motivation. It discusses factors influencing ZPD reading levels which may cause teachers to adjust individual ZPD book levels up or down, noting that the teacher's professional judgment is critically important in establishing effective ZPD levels. Finally, the report discusses factors that cause discrepancies between ZPD guidelines and grade-equivalent scores, concluding that, because of home and classroom factors, an individual student's ZPD level can only be estimated. The report then presents a goal-setting chart for independent reading that includes grade equivalent scores, ZPDs, and point values expected from 60 minutes per day of independent reading. (SR)