In the second progress report Charlie describes a psychological test (the inkblot or Rorschach test) he has taken at Beekman University, in preparation for his acceptance in Dr. Strauss' experiment.  Charlie is afraid he has failed the test because is unable to visualize any images in the inkblots. 

Analysis

From Charlie's reaction to the inkblots, we understand that he doesn't have much of an imagination.  He thinks on a very literal level.