Continuous complex-amplitude computer-generated holograms (CGHs) are converted to discrete amplitude-only or phase-only ones in practical applications to cater for the characteristics of spatial light modulators (SLMs). To describe the influence of the discretization correctly, a refined model that eliminates the circular-convolution error is proposed to emulate the propagation of the wavefront during the formation and reconstruction of a CGH. The effects of several significant factors, including quantized amplitude and phase, zero-padding rate, random phase, resolution, reconstruction distance, wavelength, pixel pitch, phase modulation deviation and pixel-to-pixel interaction, are discussed. Based on evaluations, the optimal quantization for both available and future SLM devices is suggested.