We used to regularly practice simulated engine failures in the climb after t/o. However we avoided the "grey" area between initial transition and steady climb at 60 kt/max. con. power/200 ft for practice purposes. Rate of climb in the R22 is not the critical element. Having 60 kt on the clock is. From the steady climb, if you close the throttle quickly, you have just time to say "Oh ****" (or whatever you do say) before you slam the lever to the bottom as quickly as you can move your hand. The RRPM will get down to 97% if you do just this. Under these circumstances, ie at 2-500 ft, DO NOT FLARE. If you do, yes it will initially recover a bit of RRPM but subsequently, full auto will take longer to establish. Airflow through the disc is the good news in R22's. When you drop the lever, the nose will fall naturally - fine, it will help to maintain IAS. Remember, the attitude for 60 kt in the climb is more nose up than in the auto, so if you keep the attitude, the speed falls. This does not mean shove the stick forward, as this droops the RRPM and results in a high R of D which from 200 ft can cause problems judging the flare. In fact, from 200 ft, you actually don't completely establish normal auto and the flare, even from 60 kt does not give the normal response, and a run on landing is almost inevitable.
If the donkey goes quiet before you reach 60 kt, BE OUT OF THE AVOID AREA, the RRPM run down at lower speeds is dramatic. When I see Robinsons still with only 30 - 40 kt on at 100 - 200 ft, I think the pilots would benefit from a demo of the consequences of this, but at a much greater height (like 2000 ft).