I thought I'd offer some clarification on this thread as I stumbled on it looking for answers to the same question. In my case I'm using CE9/ePortfolio but regarding parameters, I don't think the options have changed in CE10/Web Desktop. (The option under discussion can be found in the CMC on the page where you set parameter values and reads: Prompt the user for new value(s) when viewing). As stated here previously, selecting/de-selecting this option has no effect on the Schedule screen - the parameter is shown in plain view regardless.
However, it does give the intended result if you're using the ActiveX viewer and instead of Schedule, you select View to run the report on demand. This action causes an ActiveX dialogue box to pop up and step through the paramters. If you do not put a check next to the Prompt the user... option, you will not see the parameter.
We had to resort to using View instead of Schedule for this reason for one group of reports (and for the lousy handling on entry of date/time in the schedule page). Using View is not recommended for reports that run for more then a couple of minutes, but that wasn't a problem for this specific application. Using View also will not give you a saved instance unless you export it yourself.
I have to ask the question, why didn't Crystal implement this option in the Schedule logic? Pretty crummy in my opinion. I'm not sure this has been addressed in XI, but at least they've cleaned up the Schedule pages quite a bit all around in XI.
--Bearden