WGU C720 OBJECTIVE ASSESSMENT EXAM STUDY
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WGU C720 Objective Assessment study guide
Type of Inventory
These part and materials are obtained from suppliers and are used in the production process. -
ANSWER-Raw Materials
Q: Type of Inventory
These are partly finished parts, components, subassemblies, or modules - ANSWER-Work-in-process
(WIP)
Q: Type of Inventory
Items are ready to ship to the customer. No more work required - ANSWER-Finished Goods
Q: Type of Inventory
These are maintained to replace other parts in machinery or equipment as those parts wear out. -
ANSWER-Replacement parts inventory
Q: Type of Inventory
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. -
ANSWER-Supplies
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Q: Type of Inventory
The portion of the inventory that is in the process of being shipped through the distribution system. -
ANSWER-Transportation (pipeline)
Q: Type of 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 demand for a few days or weeks. - ANSWER-Peak
Demand
Q: Type of Demand
As shoppers adjust their purchase velocity in the line with holidays, especially Christmas. But Halloween,
Thanksgiving and even St. Patrick's Day also create demand for certain kinds of merchandise - ANSWER-
Seasonal Deman
Q: Type of Demand
Which occurs due to usually-unexpected event. For example, an underdog school may upset a favorite
during the NCAA's basketball tournament, causing a run on their mercandise. - ANSWER-Unexpected
Demand
Q: Type of Demand
Occurs when a company has to adjust to production rates to match demand by varying the workforce
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 normally scheduled time. - ANSWER-Chase Demand
Q:
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WGU C720 Objective Assessment Study Guide
Why would the company use this check sheet? - ANSWER-To develop a Pareto chart identifying the root
causes of engine defects
QUESTION: Which aspect of quality is demonstrated by a vehicle that has a useful life of 165,000 miles? -
ANSWER-Durability
QUESTION: 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? - ANSWER-Run charts and Control
charts
QUESTION: 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? - ANSWER-Deming's 14
points
QUESTION: 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 should be used to measure installer performance?
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Choose 2 answers - ANSWER-Control charts to measure the time elapsed to completion Run charts to
chart output around the 14-day central tendency
QUESTION: Which quality tool examines patterns, flow, and causes of variation of data points over time?
- ANSWER-Statistical process control
QUESTION: A vice president of a major retailer is trying to reduce the wait time for customers in the
checkout line by appropriately opening checkout lines. To do this, the VP needs to know the relationship
and degree of correlation between monthly customer visits and area population.
Which tool should be used in this situation? - ANSWER-Scatter plot
QUESTION: Which two company practices reflect the guiding principles of Six Sigma?
Choose 2 answers - ANSWER-A company tries to reduce variation in the quality of products it offers.
A company emphasizes the quality of suppliers because the quality of outputs are determined by the
quality of inputs.
QUESTION: Six Sigma is adopted by a manufacturing company.
How can the company use Six Sigma to establish quality improvement? - ANSWER-There should be no
more than 3.4 defects per million products from a manufacturing company statistically.
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