1 | Page
C720 PA WGU EXAM 2025 UPDATED
ACTUAL EXAM WITH CORRECT
SOLUTIONS.
Economic order quantity model - correct answer- Quantity
discount model
A company is experiencing rapid changes in the technology of
one of its products.
Which characteristic of a SWOT analysis will be of greatest
benefit to this company?
Identifying environmental threats so they can strive to change
these threats into opportunities
Determining a plan to enter new markets with very high barriers
to entry
Benchmarking with competitors that have been slow to
implement technology improvements
Determining opportunities through the examination of
previously under-served markets - correct answer- Determining
opportunities through the examination of previously under-
served markets
,2 | Page
A hardware store in a small town cannot afford to invest in an
automated inventory system. This means they will not generally
know the inventory levels of the many sizes of nuts and bolts
that they carry. In order to determine those inventory levels,
they take a physical count of their fasteners every two weeks.
Which inventory system is the hardware store using?
Daily cycle count system
Periodic inventory system
Active maintenance system
Perpetual inventory system - correct answer- Periodic inventory
system
A company that produces motors uses the following check
sheet:
Why would the company use this check sheet?
To create a control chart to measure the engine assembly
process
To create a flow chart of the engine assembly process
To develop a suppliers, inputs, process, outputs, customers
(SIPOC) diagram
To develop a Pareto chart identifying the root causes of engine
defects - correct answer- To develop a Pareto chart identifying
the root causes of engine defects
,3 | Page
Which aspect of quality is demonstrated by a vehicle that has a
useful life of 165,000 miles?
Performance
Reliability
Features
Durability - correct answer- Durability
A quality improvement team is trying to illustrate to upper
management how a process is varying over time as
measurements are collected.
Which two statistical process control (SPC) tools should the
team use?
Choose 2 answers
Cause-and-effect diagrams
Scatter diagrams
Histograms
Run charts
Check sheets
Pareto charts
, 4 | Page
Control charts - correct answer- Control charts
Run charts
The CEO of a service company wants to change the strategy of
the company from volume sales to high-quality products.
Which philosophy should the CEO implement to emphasize
quality over volume?
Shewhart's variation reduction
Deming's 14 points
Ohno and Shingo's kaizen
Taguchi's loss function - correct answer- Deming's 14 points
A company sells garage doors through a national retailer and
contracts with local installers to complete the installations. The
operations manager is responsible for completing the
installations in a 14-day period after the sale. The company will
be penalized financially if it fails to achieve these objectives.
The operations manager's daily responsibilities include
contacting installers to expedite orders and ensure deadlines
are met.
Which two tools that should be used to measure installer
performance?
C720 PA WGU EXAM 2025 UPDATED
ACTUAL EXAM WITH CORRECT
SOLUTIONS.
Economic order quantity model - correct answer- Quantity
discount model
A company is experiencing rapid changes in the technology of
one of its products.
Which characteristic of a SWOT analysis will be of greatest
benefit to this company?
Identifying environmental threats so they can strive to change
these threats into opportunities
Determining a plan to enter new markets with very high barriers
to entry
Benchmarking with competitors that have been slow to
implement technology improvements
Determining opportunities through the examination of
previously under-served markets - correct answer- Determining
opportunities through the examination of previously under-
served markets
,2 | Page
A hardware store in a small town cannot afford to invest in an
automated inventory system. This means they will not generally
know the inventory levels of the many sizes of nuts and bolts
that they carry. In order to determine those inventory levels,
they take a physical count of their fasteners every two weeks.
Which inventory system is the hardware store using?
Daily cycle count system
Periodic inventory system
Active maintenance system
Perpetual inventory system - correct answer- Periodic inventory
system
A company that produces motors uses the following check
sheet:
Why would the company use this check sheet?
To create a control chart to measure the engine assembly
process
To create a flow chart of the engine assembly process
To develop a suppliers, inputs, process, outputs, customers
(SIPOC) diagram
To develop a Pareto chart identifying the root causes of engine
defects - correct answer- To develop a Pareto chart identifying
the root causes of engine defects
,3 | Page
Which aspect of quality is demonstrated by a vehicle that has a
useful life of 165,000 miles?
Performance
Reliability
Features
Durability - correct answer- Durability
A quality improvement team is trying to illustrate to upper
management how a process is varying over time as
measurements are collected.
Which two statistical process control (SPC) tools should the
team use?
Choose 2 answers
Cause-and-effect diagrams
Scatter diagrams
Histograms
Run charts
Check sheets
Pareto charts
, 4 | Page
Control charts - correct answer- Control charts
Run charts
The CEO of a service company wants to change the strategy of
the company from volume sales to high-quality products.
Which philosophy should the CEO implement to emphasize
quality over volume?
Shewhart's variation reduction
Deming's 14 points
Ohno and Shingo's kaizen
Taguchi's loss function - correct answer- Deming's 14 points
A company sells garage doors through a national retailer and
contracts with local installers to complete the installations. The
operations manager is responsible for completing the
installations in a 14-day period after the sale. The company will
be penalized financially if it fails to achieve these objectives.
The operations manager's daily responsibilities include
contacting installers to expedite orders and ensure deadlines
are met.
Which two tools that should be used to measure installer
performance?
