CED Data Analysis & Reporting 3

Question 1

A program director wants to assess whether an intervention caused improved outcomes. Which study design provides the strongest causal evidence?

Accepted Answer

Randomized controlled trial

Answer

A randomized controlled trial, with random assignment to treatment and control groups, provides the strongest evidence of causation.

Question 2

In a trend analysis, data points consistently rise for 18 months then sharply drop. What should an executive director investigate first?

Accepted Answer

Identify whether an external event or policy change coincides with the drop

Answer

A sharp break in trend often signals an external event, policy shift, or data quality issue that requires investigation before drawing conclusions.

Question 3

Which metric is most appropriate for evaluating the efficiency of a nonprofit's use of donated funds?

Accepted Answer

Program expense ratio

Answer

The program expense ratio measures the percentage of expenses directed to programs versus overhead, indicating funding efficiency.

Question 4

An organization collects data via voluntary surveys. Which limitation must an executive director consider when interpreting results?

Accepted Answer

Voluntary response bias may skew results toward those with strong opinions

Answer

Voluntary surveys are susceptible to response bias because those with stronger feelings are more likely to participate, skewing the sample.

Question 5

A CED uses a regression model to forecast next year's grant revenue. Which output most directly measures how well the model fits historical data?

Accepted Answer

R-squared (R²)

Answer

R-squared indicates the proportion of variance in the dependent variable explained by the model, measuring goodness of fit.

(CED) Certified Executive Director Practice Test