IIBA CBDA Exam (page: 2)
IIBA Certification in Business Data Analytics
Updated on: 25-Dec-2025

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An analyst at a bank is trying to identify research questions for an analytical study on top customer issues across branches. During an interview with a branch manager, the analyst asks the manager what their top customer concerns are relating to this branch?

After the manager's reply, the analyst asks a follow up question on how their top customer concerns compare against the top customer concerns across all branches? Was the analyst's follow-up question valid?

  1. No, there is no value comparing the results of a single branch with results across all branches
  2. Yes, it builds on the previous question and allows the analyst to identify branch-specific concerns
  3. No, the question is not valid in this particular scenario
  4. Yes, only for the purpose of ensuring that the manager is aware of the company-wide reports

Answer(s): B

Explanation:

The analyst's follow-up question is valid because it helps to refine the scope and context of the research questions for the analytical study. By comparing the top customer concerns across branches, the analyst can identify the common and unique issues that affect customer satisfaction and loyalty. This can also help to prioritize the most critical or urgent problems that need to be addressed by the bank12.


Reference:

1: Guide to Business Data Analytics, IIBA, 2020, p. 212: Business Analysis for Practitioners: A Practice Guide, PMI, 2015, p. 43.



Interested in experimenting with analytics, a manufacturing company hires an analyst to see how the capability can be developed within its organization. The analyst is getting started and recognizes the need to show value from the onset of their work to gain upper management's trust and future funding.
What action will accomplish these objectives?

  1. Solve the biggest problem the organization has first to quickly grab the support and attention of senior management
  2. Develop a question that can be answered quickly regardless of alignment to strategy, just to get started
  3. Develop a meaningful question that can be answered with data the company already has in its possession
  4. Perform a market analysis to understand how competitors are using analytics and then launch a similar initiative

Answer(s): C

Explanation:

The best action for the analyst to show value from the onset of their work is to develop a meaningful question that can be answered with data the company already has in its possession. This way, the analyst can demonstrate the potential of analytics to solve relevant business problems, without spending too much time or resources on data collection or market research. The question should also be aligned with the organization's strategy and goals, and provide actionable insights for decision making12.


Reference:

1: Guide to Business Data Analytics, IIBA, 2020, p. 202: Data Science for Business, Foster Provost and Tom Fawcett, 2013, p. 14.



A large car manufacturer is interested in comparing the number of sales for a specific model of electric car across all 50 US states.
The data analytics team sourced and acquired the data, and the business analyst created the model to compare sales across states.
In a meeting to review the results, the feedback received included several complaints concerning an inability to distinguish the number of sales per state.
What model would result in such confusion?

  1. Bullet chart
  2. Dual axis chart
  3. Bar chart
  4. Pie chart

Answer(s): D

Explanation:

A pie chart is a circular chart that shows the proportion of each category in a whole by dividing the circle into slices. A pie chart would result in confusion when comparing the number of sales for a specific model of electric car across all 50 US states, because it is difficult to compare the angles and areas of the slices, especially when there are many categories with similar values. A pie chart also does not show the absolute values of each category, unless they are labeled or annotated12. A better alternative would be a bar chart, which can show the number of sales for each state along a common axis, making it easier to compare and rank the values3.


Reference:

1: Guide to Business Data

Analytics, IIBA, 2020, p. 652: Storytelling with Data, Cole Nussbaumer Knaflic, 2015, p. 673: The Visual Display of Quantitative Information, Edward R. Tufte, 2001, p. 178.



The definition of data elements is different across various data sources. The organization is looking to improve the usability of data across the organization.
Which practice would help address this problem?

  1. Data governance
  2. Data quality
  3. Data architecture
  4. Data ethics

Answer(s): A

Explanation:

Data governance is the practice of establishing and enforcing policies, standards, roles, and responsibilities for the management and use of data across the organization. Data governance helps to address the problem of inconsistent data definitions across various data sources by ensuring that data is properly defined, documented, classified, and aligned with the business objectives and requirements12.


Reference:

1: Guide to Business Data Analytics, IIBA, 2020, p. 292: Data Governance: How to Design, Deploy and Sustain an Effective Data Governance Program, John Ladley, 2012, p. 3.



Insights based on the data collected indicate that a multi-national company could increase its sales of a mature product by reducing its price by 20% which would result in increased revenues of 2% over a 6-month period. The team recommends this as an appropriate goal for its organization. This is considered a good goal because:

  1. It meets all the criteria for a well-defined objective
  2. The organization can derive additional revenue from the product
  3. It indicates that the company does not have to incur costs associated with retiring this product
  4. Management will be pleased that the mature product can still contribute to revenue

Answer(s): A

Explanation:

A well-defined objective is one that is specific, measurable, achievable, relevant, and time-bound (SMART)1. The goal of increasing sales of a mature product by reducing its price by 20% which would result in increased revenues of 2% over a 6-month period meets all these criteria, as it clearly states what the desired outcome is, how it will be measured, whether it is realistic and attainable, how it aligns with the organization's strategy, and when it will be achieved2.


Reference:

1: Guide to Business Data Analytics, IIBA, 2020, p. 192: SMART Goals: How to Make Your Goals Achievable, MindTools, 2021, 1.



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SPriyak 3/17/2025 11:08:37 AM

can you please provide the CBDA latest test preparation
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