WGU D002 ULTIMATE OA EXAM STUDY GUIDE
2026 QUESTIONS WITH SOLUTIONS GRADED
A+
◉ Outputs. Answer: Services and goods
◉ Sustainability. Answer: Defined broadly in operations and supply
chain management as the ethical issues an organization faces to balance
financial performance while maintaining social responsibility standards
and a responsible environmental profile.
◉ VIRAL. Answer: Acronym - A framework for competitive advantage.
Viral, Inimitable, Rare, Aptitude, Lifespan.
The advantage must provide Value to consumers; it should be Inimitable
(not easily imitated), Rare, and an organization must have the Aptitude
(capability) and Lifespan (sustainability) to earn appropriate returns on
the advantage.
,◉ Productivity. Answer: A mathematical calculation; it is the ratio of the
outputs achieved divided by the inputs consumed to achieve those
outputs.
◉ 6 Types of Inventory. Answer: o Raw Materials
o Work In Progress
o Finished Goods
o Replacement Parts Inventory
o Supplies
o Transportation
◉ Raw Materials. Answer: These parts and materials are obtained from
suppliers and are used in the production process.
◉ Work-in-process (WIP). Answer: These are partly finished parts,
components, sub-assemblies, or modules.
◉ Finished Goods. Answer: Items are ready to ship to the customer. No
more work is required.
◉ Replacement parts inventory. Answer: These are maintained to
replace other parts in machinery or equipment as those parts wear out
,◉ Supplies. Answer: Parts or materials are used to support the
production process but not usually a component of the product. These
items, such as lubricant and cutting tools, are consumed in the
production process.
◉ Transportation (pipeline):. Answer: The portion of inventory that is in
the process of being shipped through the distribution system.
◉ 4 Types of Demand. Answer: o Peak
o Seasonal
o Unexpected
o Chase
◉ Peak Demand. Answer: Demand which occurs in response to planned
events such as advertising, publicity or promotion. The release of a
popular game franchise's latest version often causes peak demand for a
few days or weeks.
◉ Seasonal Demand. Answer: Demand as shoppers adjust their purchase
velocity in line with holidays, especially Christmas. But Halloween,
Thanksgiving and even St. Patrick's Day also create seasonal demand for
certain kinds of merchandise.
◉ Unexpected Demand. Answer: Demand which occurs due to a
usually-unexpected event. For example, an underdog school may upset a
, favorite during the NCAA's basketball tournament, causing a run on
their merchandise.
◉ Chase Demand. Answer: Demand that occurs when a company has to
adjust production by rates to match demand by varying the workforce
and using overtime. Companies vary the workforce by adding or
reducing the number of employees on duty at any given time. And they
may choose to provide overtime by asking workers to stay on the job
beyond their normally scheduled time.
◉ Safety Stock. Answer: A cushion of inventory to protect against
unexpected demand. In this way, they can continue to meet customer
demand without delays.
◉ Stock Out. Answer: Occurs when inventory is depleted.
◉ Perpetual Inventory System. Answer: Continuously monitors
inventory levels and is also called a continuous review system. Requires
human input (i.e. cashier) and the ordering of more inventory is
triggered by reorder point.
o Requires an exact inventory balance at all times
o Best for big businesses, retail stores, or banks
o High value and high volume
o Expensive to implement and maintain
2026 QUESTIONS WITH SOLUTIONS GRADED
A+
◉ Outputs. Answer: Services and goods
◉ Sustainability. Answer: Defined broadly in operations and supply
chain management as the ethical issues an organization faces to balance
financial performance while maintaining social responsibility standards
and a responsible environmental profile.
◉ VIRAL. Answer: Acronym - A framework for competitive advantage.
Viral, Inimitable, Rare, Aptitude, Lifespan.
The advantage must provide Value to consumers; it should be Inimitable
(not easily imitated), Rare, and an organization must have the Aptitude
(capability) and Lifespan (sustainability) to earn appropriate returns on
the advantage.
,◉ Productivity. Answer: A mathematical calculation; it is the ratio of the
outputs achieved divided by the inputs consumed to achieve those
outputs.
◉ 6 Types of Inventory. Answer: o Raw Materials
o Work In Progress
o Finished Goods
o Replacement Parts Inventory
o Supplies
o Transportation
◉ Raw Materials. Answer: These parts and materials are obtained from
suppliers and are used in the production process.
◉ Work-in-process (WIP). Answer: These are partly finished parts,
components, sub-assemblies, or modules.
◉ Finished Goods. Answer: Items are ready to ship to the customer. No
more work is required.
◉ Replacement parts inventory. Answer: These are maintained to
replace other parts in machinery or equipment as those parts wear out
,◉ Supplies. Answer: Parts or materials are used to support the
production process but not usually a component of the product. These
items, such as lubricant and cutting tools, are consumed in the
production process.
◉ Transportation (pipeline):. Answer: The portion of inventory that is in
the process of being shipped through the distribution system.
◉ 4 Types of Demand. Answer: o Peak
o Seasonal
o Unexpected
o Chase
◉ Peak Demand. Answer: Demand which occurs in response to planned
events such as advertising, publicity or promotion. The release of a
popular game franchise's latest version often causes peak demand for a
few days or weeks.
◉ Seasonal Demand. Answer: Demand as shoppers adjust their purchase
velocity in line with holidays, especially Christmas. But Halloween,
Thanksgiving and even St. Patrick's Day also create seasonal demand for
certain kinds of merchandise.
◉ Unexpected Demand. Answer: Demand which occurs due to a
usually-unexpected event. For example, an underdog school may upset a
, favorite during the NCAA's basketball tournament, causing a run on
their merchandise.
◉ Chase Demand. Answer: Demand that occurs when a company has to
adjust production by rates to match demand by varying the workforce
and using overtime. Companies vary the workforce by adding or
reducing the number of employees on duty at any given time. And they
may choose to provide overtime by asking workers to stay on the job
beyond their normally scheduled time.
◉ Safety Stock. Answer: A cushion of inventory to protect against
unexpected demand. In this way, they can continue to meet customer
demand without delays.
◉ Stock Out. Answer: Occurs when inventory is depleted.
◉ Perpetual Inventory System. Answer: Continuously monitors
inventory levels and is also called a continuous review system. Requires
human input (i.e. cashier) and the ordering of more inventory is
triggered by reorder point.
o Requires an exact inventory balance at all times
o Best for big businesses, retail stores, or banks
o High value and high volume
o Expensive to implement and maintain
