WGU C207 Data-Driven Decision Making OA
Exam Prep 2026 | 100 Practice Questions with
Answers and Explanations |INSTANT PDF
DOWNLOAD
Covered Topics:
Descriptive, predictive, and prescriptive analytics
Data types and measurement scales
Statistics fundamentals
Correlation and regression concepts
Sampling and probability
Data visualization
KPIs and dashboards
Data quality
Data governance and ethics
Decision-making models
Business analytics scenarios
Question 1
What is the primary purpose of data-driven decision-making?
A. Making decisions based only on experience
B. Using data analysis to support business decisions
C. Eliminating human judgment completely
D. Avoiding business risks entirely
,Answer: B. Using data analysis to support business decisions
Explanation: Data-driven decision-making uses reliable data and analysis to improve the
quality of decisions.
Question 2
Which type of analytics answers the question: “What happened?”
A. Predictive analytics
B. Prescriptive analytics
C. Descriptive analytics
D. Diagnostic analytics
Answer: C. Descriptive analytics
Explanation: Descriptive analytics summarizes historical data to explain past events.
Question 3
A company analyzes last year's sales reports to identify revenue trends. This is an example
of:
A. Descriptive analytics
B. Predictive analytics
C. Prescriptive analytics
D. Artificial intelligence
Answer: A. Descriptive analytics
Explanation: Reviewing historical sales data describes what has already occurred.
Question 4
Which analytics approach attempts to forecast future outcomes?
A. Descriptive
B. Predictive
C. Prescriptive
D. Diagnostic
,Answer: B. Predictive
Explanation: Predictive analytics uses historical patterns to estimate future events.
Question 5
A retailer uses an algorithm to recommend the best inventory levels. This is:
A. Descriptive analytics
B. Predictive analytics
C. Prescriptive analytics
D. Data collection
Answer: C. Prescriptive analytics
Explanation: Prescriptive analytics recommends actions based on analysis.
Question 6
Which measurement scale has categories with no meaningful order?
A. Nominal
B. Ordinal
C. Interval
D. Ratio
Answer: A. Nominal
Explanation: Nominal data consists of labels or categories without ranking.
Example: Department names or colors.
Question 7
Which type of data has a meaningful order but differences between values are not
necessarily equal?
A. Nominal
B. Ordinal
C. Interval
D. Ratio
, Answer: B. Ordinal
Explanation: Ordinal data represents ranked categories.
Example: Satisfaction ratings.
Question 8
Temperature measured in Celsius is an example of:
A. Nominal data
B. Ordinal data
C. Interval data
D. Ratio data
Answer: C. Interval data
Explanation: Celsius has meaningful differences but no true zero point.
Question 9
Which measurement scale includes a true zero?
A. Nominal
B. Ordinal
C. Interval
D. Ratio
Answer: D. Ratio
Explanation: Ratio data has equal intervals and a meaningful zero.
Example: Weight, distance, revenue.
Question 10
Which describes quantitative data?
A. Data represented by numbers and measurements
B. Opinions expressed as text
Exam Prep 2026 | 100 Practice Questions with
Answers and Explanations |INSTANT PDF
DOWNLOAD
Covered Topics:
Descriptive, predictive, and prescriptive analytics
Data types and measurement scales
Statistics fundamentals
Correlation and regression concepts
Sampling and probability
Data visualization
KPIs and dashboards
Data quality
Data governance and ethics
Decision-making models
Business analytics scenarios
Question 1
What is the primary purpose of data-driven decision-making?
A. Making decisions based only on experience
B. Using data analysis to support business decisions
C. Eliminating human judgment completely
D. Avoiding business risks entirely
,Answer: B. Using data analysis to support business decisions
Explanation: Data-driven decision-making uses reliable data and analysis to improve the
quality of decisions.
Question 2
Which type of analytics answers the question: “What happened?”
A. Predictive analytics
B. Prescriptive analytics
C. Descriptive analytics
D. Diagnostic analytics
Answer: C. Descriptive analytics
Explanation: Descriptive analytics summarizes historical data to explain past events.
Question 3
A company analyzes last year's sales reports to identify revenue trends. This is an example
of:
A. Descriptive analytics
B. Predictive analytics
C. Prescriptive analytics
D. Artificial intelligence
Answer: A. Descriptive analytics
Explanation: Reviewing historical sales data describes what has already occurred.
Question 4
Which analytics approach attempts to forecast future outcomes?
A. Descriptive
B. Predictive
C. Prescriptive
D. Diagnostic
,Answer: B. Predictive
Explanation: Predictive analytics uses historical patterns to estimate future events.
Question 5
A retailer uses an algorithm to recommend the best inventory levels. This is:
A. Descriptive analytics
B. Predictive analytics
C. Prescriptive analytics
D. Data collection
Answer: C. Prescriptive analytics
Explanation: Prescriptive analytics recommends actions based on analysis.
Question 6
Which measurement scale has categories with no meaningful order?
A. Nominal
B. Ordinal
C. Interval
D. Ratio
Answer: A. Nominal
Explanation: Nominal data consists of labels or categories without ranking.
Example: Department names or colors.
Question 7
Which type of data has a meaningful order but differences between values are not
necessarily equal?
A. Nominal
B. Ordinal
C. Interval
D. Ratio
, Answer: B. Ordinal
Explanation: Ordinal data represents ranked categories.
Example: Satisfaction ratings.
Question 8
Temperature measured in Celsius is an example of:
A. Nominal data
B. Ordinal data
C. Interval data
D. Ratio data
Answer: C. Interval data
Explanation: Celsius has meaningful differences but no true zero point.
Question 9
Which measurement scale includes a true zero?
A. Nominal
B. Ordinal
C. Interval
D. Ratio
Answer: D. Ratio
Explanation: Ratio data has equal intervals and a meaningful zero.
Example: Weight, distance, revenue.
Question 10
Which describes quantitative data?
A. Data represented by numbers and measurements
B. Opinions expressed as text
