Grading. That word can strike fear in the hearts of men and women.
Personally, I have no problem with it. Also, I don't think any sensei goes only by the results of a test.
I agree that any test will put you under pressure for a while, but so what? You're still in the dojo with your friends. I think it helps you s-t-r-e-t-c-h a bit (sort of like public speaking).
I once graded when I had a broken toe (different art) and it was very difficult, to say the least. Anyway, I (and one other student) actually skipped a belt. I really think the toe helped - it at least helped with the kiai.