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Data-Driven-Decision-Making Interactive Questions - Data-Driven-Decision-Making Review Guide

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Data-Driven-Decision-Making Review Guide - Data-Driven-Decision-Making Learning Materials

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WGU VPC2Data-Driven Decision MakingC207 Sample Questions (Q55-Q60):

NEW QUESTION # 55
A retail manager collected the following sales-receipt totals from the store's cashiers:
$25, $22, $48, $42, $32, $28, $24, $54, $34, $41, $48
What is the median of this sales-receipt data?

A. $41
B. $34
C. $25
D. $48

Answer: B

Explanation:
Themedianis the middle value of a dataset when the data is arranged in ascending order. It is a key descriptive statistic used in data-driven decision making because it is resistant to extreme values.
First, sort the data in ascending order:
22, 24, 25, 28, 32,34, 41, 42, 48, 48, 54
There are 11 values in total, so the median is the 6th value. The 6th value is$34, making it the median.
The median provides insight into the typical transaction size without being influenced by unusually large receipts. Therefore, the correct answer isB.

NEW QUESTION # 56
Which type of analysis determines whether there was a significant difference in the average donor solicitation amount between three nonprofit hospital events?

A. ANOVA
B. Time series
C. Logistic regression
D. Cluster

Answer: A

Explanation:
Analysis of Variance (ANOVA)is used to compare the means of three or more groups to determine whether statistically significant differences exist. In data-driven decision making, ANOVA is appropriate when evaluating differences across multiple categories.
In this scenario, the analyst is comparing average donor solicitation amounts across three separate events.
ANOVA tests whether at least one group mean differs from the others.
Cluster analysis groups data, time series examines trends over time, and logistic regression predicts categorical outcomes. Therefore, the correct answer isD, ANOVA.

NEW QUESTION # 57
A county government is creating a budget for the next fiscal year. They wish to use analytics to guide their decisions about costs.
Which analytic method can the county apply to this issue?

A. Median cost for all county projects
B. Average cost per project spent by other similar counties
C. Average number of projects completed
D. Median number of projects completed last year

Answer: B

Explanation:
To guide budgeting decisions, data-driven decision making emphasizesbenchmarking against comparable organizations. Using theaverage cost per project spent by other similar countiesallows the county to assess whether its planned expenditures are reasonable and competitive.
Benchmarking provides external context that internal historical metrics cannot. While median costs or project counts describe internal performance, they do not indicate whether spending levels are appropriate relative to peers. Comparing average costs across similar counties helps identify inefficiencies, cost-saving opportunities, and realistic budget targets.
Therefore, optionAis the most effective analytic method for cost-based decision-making in this scenario.

NEW QUESTION # 58
How should a marketing consulting firm perform a cluster analysis for a new granola bar?

A. Determine whether there are any granola bar sales trends
B. Determine the different segments or groups to target
C. Determine the reasons for consumer granola bar purchases
D. Determine competitor benchmarks and forecasts for comparison

Answer: B

NEW QUESTION # 59
What classifies analytics as descriptive, predictive, or prescriptive?

A. The sample size and analysis technique used
B. The data validity and reliability
C. The purpose and methods
D. The kind of software used for the analysis

Answer: C

Explanation:
Analytics is classified as descriptive, predictive, or prescriptive based onthe purpose of the analysis and the methods used to carry it out, which is a foundational concept in data-driven decision making. The distinction reflects the type of managerial question being addressed rather than technical aspects such as software tools, sample size, or data reliability.
Descriptive analytics focuses on understandingwhat has happenedby summarizing historical data. It relies on descriptive statistics, reports, dashboards, and data visualizations to provide insights into past performance.
Predictive analytics extends this approach to determinewhat is likely to happenby using statistical models, probability distributions, regression analysis, and forecasting techniques to estimate future outcomes.
Prescriptive analytics goes further by identifyingwhat should be doneto achieve desired results. It uses optimization models, decision trees, simulations, and scenario analysis to recommend the best course of action under given constraints.
In data-driven decision making, the classification of analytics depends on how results are intended to support decisions and the analytical techniques applied to achieve that goal. Factors such as data quality and software influence accuracy and efficiency but do not define the analytics category itself. Therefore, the correct classification criterion is thepurpose and methods, making optionCthe correct answer.

NEW QUESTION # 60
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