Gear icon in Manage grades- tax -

This section explains the menu options that can be configured via the gear icon in the upper-right corner of the Grade Management screen. Prerequisites: Grade Management editing permissions (for all users and all content). *No permissions are required for the “Display Settings” section. Menu List: Settings for the following five menu items are available...

You can set whether or not to display the grades of users whose "Status" is set to "Disabled". Terms of Use Customization Option, Permission to Edit Grades (for all users and contents) Settings 01.