WGU C720 Complete OA Prep Guide
Questions with complete solution 2025
Inputs - correct answer ✔People, capital, material, money
Outputs - correct answer ✔Services and goods
Sustainability - correct 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 - correct 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 - correct 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 - correct answer ✔o Raw Materials
o Work In Progress
o Finished Goods
o Replacement Parts Inventory
,o Supplies
o Transportation
Raw Materials - correct answer ✔These parts and materials are obtained
from suppliers and are used in the production process.
Work-in-process (WIP) - correct answer ✔These are partly finished parts,
components, sub-assemblies, or modules.
Finished Goods - correct answer ✔Items are ready to ship to the customer.
No more work is required.
Replacement parts inventory - correct answer ✔These are maintained to
replace other parts in machinery or equipment as those parts wear out
Supplies - correct 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): - correct answer ✔The portion of inventory that is
in the process of being shipped through the distribution system.
4 Types of Demand - correct answer ✔o Peak
o Seasonal
o Unexpected
o Chase
Peak Demand - correct 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 - correct 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 - correct 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 - correct 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 - correct answer ✔A cushion of inventory to protect against
unexpected demand. In this way, they can continue to meet customer demand
without delays.
Stock Out - correct answer ✔Occurs when inventory is depleted.
Perpetual Inventory System - correct 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.
Questions with complete solution 2025
Inputs - correct answer ✔People, capital, material, money
Outputs - correct answer ✔Services and goods
Sustainability - correct 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 - correct 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 - correct 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 - correct answer ✔o Raw Materials
o Work In Progress
o Finished Goods
o Replacement Parts Inventory
,o Supplies
o Transportation
Raw Materials - correct answer ✔These parts and materials are obtained
from suppliers and are used in the production process.
Work-in-process (WIP) - correct answer ✔These are partly finished parts,
components, sub-assemblies, or modules.
Finished Goods - correct answer ✔Items are ready to ship to the customer.
No more work is required.
Replacement parts inventory - correct answer ✔These are maintained to
replace other parts in machinery or equipment as those parts wear out
Supplies - correct 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): - correct answer ✔The portion of inventory that is
in the process of being shipped through the distribution system.
4 Types of Demand - correct answer ✔o Peak
o Seasonal
o Unexpected
o Chase
Peak Demand - correct 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 - correct 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 - correct 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 - correct 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 - correct answer ✔A cushion of inventory to protect against
unexpected demand. In this way, they can continue to meet customer demand
without delays.
Stock Out - correct answer ✔Occurs when inventory is depleted.
Perpetual Inventory System - correct 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.
