CAM Data Analysis & Decision Making 2

Question 1

A CAM notices that 20% of accounts generate 80% of revenue. This pattern is best described as:

Accepted Answer

The Pareto Principle

Answer

The Pareto Principle (80/20 rule) states that roughly 80% of effects come from 20% of causes, commonly observed in revenue distribution across accounts.

Question 2

When analyzing customer churn data, a CAM finds that the average monthly churn rate is 5% with a standard deviation of 1.5%. What does this standard deviation indicate?

Accepted Answer

Churn rates typically fall between 3.5% and 6.5%

Answer

Standard deviation measures the dispersion of data; one standard deviation above and below the mean (5% ± 1.5%) gives the typical range of 3.5%–6.5%.

Question 3

A CAM wants to determine if a new onboarding process reduced time-to-value. Which statistical test is most appropriate for comparing the before-and-after means?

Accepted Answer

Paired t-test

Answer

A paired t-test compares means from the same group measured at two different times, making it ideal for before-and-after comparisons.

Question 4

In a dashboard showing account health scores, a CAM sees a metric trend line consistently below the target. The BEST first action is to:

Accepted Answer

Investigate the root cause of the underperformance

Answer

Investigating root causes before taking action ensures decisions are data-driven and address the actual problem rather than symptoms.

Question 5

A CAM is reviewing a scatter plot of support ticket volume vs. customer satisfaction scores. A negative correlation would mean:

Accepted Answer

Higher ticket volume is associated with lower satisfaction

Answer

A negative correlation means that as one variable increases, the other decreases — so more support tickets correlate with lower satisfaction scores.

(CAM) Certified Account Manager Practice Test

(CAM) Certified Account Manager Practice Test

CAM Data Analysis & Decision Making 2