WGU C207 DATA-DRIVEN DECISION
MAKING FINAL EXAM QUESTIONS
AND ANSWERS
1. A marketing manager classifies customers into ‘Platinum’, ‘Gold’, and ‘Silver’ based on
their annual spend. Which scale of measurement is this?
A. Nominal
B. Ratio
C. Interval
D. Ordinal
Answer: D
Conceptual Explanation: The ordinal scale is used when data can be categorized and
ranked, but the differences between the ranks are not necessarily equal.
2. Which of the following describes a Type I error in hypothesis testing?
A. Failing to reject a false null hypothesis
B. Rejecting a true null hypothesis
C. Failing to reject a true null hypothesis
,D. Rejecting a false null hypothesis
Answer: B
Conceptual Explanation: A Type I error occurs when the null hypothesis is true, but we
incorrectly reject it (a ‘false positive’).
3. In a linear regression analysis, the R-squared value is found to be 0.85. What does this
indicate?
A. The correlation coefficient is 0.85.
B. 85% of the variation in the dependent variable is explained by the independent variable.
C. The model is 85% accurate in its predictions.
D. The slope of the regression line is 0.85.
Answer: B
Conceptual Explanation: R-squared, or the coefficient of determination, represents the
proportion of the variance for a dependent variable that is explained by an independent
variable.
4. If a distribution is highly skewed to the right (positively skewed), which measure of central
tendency is typically the largest?
A. Standard Deviation
B. Median
C. Mode
, D. Mean
Answer: D
Conceptual Explanation: In a right-skewed distribution, the mean is pulled toward the
long tail, making it larger than the median and the mode.
5. According to the Empirical Rule, approximately what percentage of data falls within two
standard deviations of the mean in a normal distribution?
A. 68%
B. 90%
C. 95%
D. 99.7%
Answer: C
Conceptual Explanation: The Empirical Rule states that 68% falls within 1 SD, 95% within
2 SDs, and 99.7% within 3 SDs of the mean.
6. What is the primary purpose of the ‘Define’ phase in the Six Sigma DMAIC process?
A. To identify the root cause of defects.
B. To implement solutions to improve the process.
C. To clarify the problem, goals, and scope of the project.
D. To collect data to establish a baseline.
MAKING FINAL EXAM QUESTIONS
AND ANSWERS
1. A marketing manager classifies customers into ‘Platinum’, ‘Gold’, and ‘Silver’ based on
their annual spend. Which scale of measurement is this?
A. Nominal
B. Ratio
C. Interval
D. Ordinal
Answer: D
Conceptual Explanation: The ordinal scale is used when data can be categorized and
ranked, but the differences between the ranks are not necessarily equal.
2. Which of the following describes a Type I error in hypothesis testing?
A. Failing to reject a false null hypothesis
B. Rejecting a true null hypothesis
C. Failing to reject a true null hypothesis
,D. Rejecting a false null hypothesis
Answer: B
Conceptual Explanation: A Type I error occurs when the null hypothesis is true, but we
incorrectly reject it (a ‘false positive’).
3. In a linear regression analysis, the R-squared value is found to be 0.85. What does this
indicate?
A. The correlation coefficient is 0.85.
B. 85% of the variation in the dependent variable is explained by the independent variable.
C. The model is 85% accurate in its predictions.
D. The slope of the regression line is 0.85.
Answer: B
Conceptual Explanation: R-squared, or the coefficient of determination, represents the
proportion of the variance for a dependent variable that is explained by an independent
variable.
4. If a distribution is highly skewed to the right (positively skewed), which measure of central
tendency is typically the largest?
A. Standard Deviation
B. Median
C. Mode
, D. Mean
Answer: D
Conceptual Explanation: In a right-skewed distribution, the mean is pulled toward the
long tail, making it larger than the median and the mode.
5. According to the Empirical Rule, approximately what percentage of data falls within two
standard deviations of the mean in a normal distribution?
A. 68%
B. 90%
C. 95%
D. 99.7%
Answer: C
Conceptual Explanation: The Empirical Rule states that 68% falls within 1 SD, 95% within
2 SDs, and 99.7% within 3 SDs of the mean.
6. What is the primary purpose of the ‘Define’ phase in the Six Sigma DMAIC process?
A. To identify the root cause of defects.
B. To implement solutions to improve the process.
C. To clarify the problem, goals, and scope of the project.
D. To collect data to establish a baseline.
