MCQs

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Overall MCQs for Reference

Which of the following best defines Master Data Management (MDM)?
a. Tool for visualizing big data only
b. Centralized process managing and synchronizing core data entities
c. Process for encrypting all business information
d. Storage solution for unstructured data
Answer: bsemarchy+2
What type of data does MDM primarily focus on?
a. Transactional data only
b. Operational metadata only
c. Master data, such as customers or products
d. Temporary cache data
Answer: cinformatica+2
What is the primary goal of MDM?
a. Maximizing storage space
b. Creating a “single source of truth” for core data
c. Reducing internet bandwidth usage
d. Enhancing presentation graphics
Answer: bsap+2
Which entity is most often considered master data?
a. Log files
b. Invoices
c. Customers
d. API tokens
Answer: csemarchy+2
MDM helps improve __________ across enterprise data systems.
a. Data fragmentation
b. Data consistency and quality
c. Hardware performance
d. Source code readability
Answer: bsap+1
Which of the following is NOT usually a benefit of MDM?
a. Fewer data errors
b. Greater redundancy
c. Consistent reporting
d. Improved analytics
Answer: binformatica+1
The concept of “golden record” in MDM refers to:
a. Encrypted key for secure storage
b. Most recent version of customer order
c. The single trusted version of master data
d. Most expensive data backup
Answer: csemarchy+1
Data deduplication in MDM is aimed at:
a. Backing up all files daily
b. Removing duplicate data records
c. Encrypting data in-transit
d. Formatting data visualization
Answer: binformatica+2
Data enrichment in MDM means:
a. Adding unverified external data
b. Supplementing master data with verified new information
c. Data deletion and cleanup
d. Data storage compression
Answer: bsemarchy+1
Which of these is an example of MDM use in business?
a. Consolidating multiple customer databases into one system
b. Encrypting company email
c. Designing business logos
d. Making social media posts
Answer: amckinsey+2
Which is NOT a core principle of MDM?
a. Data quality
b. Data synchronization
c. Data redundancy increase
d. Data governance
Answer: csap+1
A main challenge in MDM implementation is:
a. Too much hardware
b. Inconsistent data formats across sources
c. Too few data sources
d. Overly visual dashboards
Answer: bmckinsey+1
Centralized MDM approach involves:
a. Keeping master data in separate silos
b. A single master repository shared with all systems
c. Distributing master data randomly
d. Encoding data in audio
Answer: bmckinsey
Registry MDM model primarily:
a. Aggregates data to spot duplicates
b. Deletes all old data
c. Encrypts registry files
d. Replaces OLAP cubes
Answer: amckinsey
Data governance in MDM refers to:
a. Controlling data flow with firewalls
b. Policies ensuring data quality and stewardship
c. Application-level caching
d. Encrypting all datasets
Answer: binfosysbpm+2
Which role typically oversees data stewardship in MDM?
a. System administrator
b. Data steward
c. Web designer
d. Social media manager
Answer: bsap+1
AI and ML in modern MDM tools are primarily used for:
a. Network intrusion detection
b. Automated data quality and entity matching
c. UI design improvements
d. Code obfuscation
Answer: bmckinsey
Which of the following is a key process in MDM?
a. Data visualization
b. Data validation and merging
c. Version control for code
d. Storage defragmentation
Answer: binformatica+1
“Single source of truth” in MDM guarantees:
a. Multiple versions of every record
b. One consistent, trusted record per entity
c. Only encrypted storage
d. Regular data loss
Answer: bsemarchy+1
Master data typically excludes:
a. Customer records
b. Product catalogs
c. Transaction logs
d. Supplier information
Answer: cinformatica+1
Which approach to MDM supports compliance and data integrity for highly regulated industries?
a. Registry MDM
b. Consolidation MDM
c. Centralized MDM
d. Decentralized Caching
Answer: cmckinsey
One common risk in neglecting MDM is:
a. Overly fast data processing
b. Data silos and inconsistent analytics
c. Free unstructured data growth
d. Enhanced cybersecurity
Answer: bsemarchy+2
Which best describes survivorship rules in MDM?
a. Procedures for tape backups
b. Rules for determining which data value is kept
c. Schedules for system uptime
d. Analytics dashboard settings
Answer: binformatica+1
Data consolidation in MDM means:
a. Breaking up databases
b. Merging multiple records into a unified master entity
c. Encrypting large files only
d. Deleting all duplicates blindly
Answer: bsemarchy
What is NOT a best practice in MDM?
a. Plan well and focus on architecture
b. Ignore stakeholder input
c. Data governance emphasis
d. Conduct regular assessments
Answer: beverconnectds+1
Key outcomes of good MDM include:
a. Higher data redundancy
b. Better decision-making and compliance
c. Frequent data outages
d. Security flaws
Answer: bmckinsey+2
A phased implementation in MDM is recommended to:
a. Increase downtime
b. Lower risk and allow gradual improvement
c. Randomize data access
d. Slow data collection
Answer: binfosysbpm
MDM technology often enables:
a. Manual data entry only
b. Automation of data matching, deduplication, and sharing
c. Disconnected team workflows
d. Unlimited spreadsheet creation
Answer: binformatica+1
MDM solutions can help with regulatory requirements by:
a. Making compliance reporting easier
b. Skipping audit trails
c. Removing all data backups
d. Focusing on graphics
Answer: asemarchy+1
Integration in MDM refers to:
a. Joining social networks
b. Combining and harmonizing data across systems
c. Locking all data files
d. Animating reports
Answer: bsap+1
Which sector is likely to need strict MDM for compliance?
a. Creative arts
b. Banking and insurance
c. Hospitality only
d. Fast-food chains
Answer: bmckinsey
Data profiling in the context of MDM refers to:
a. Social media analysis
b. Assessment of data quality and structure
c. Web traffic analysis
d. Color coding records
Answer: bsemarchy+1
Business rules in MDM typically define:
a. UI themes
b. Data validation and matching procedures
c. Hardware purchase guidelines
d. Meeting times
Answer: bsap+1
Which statement is TRUE?
a. MDM increases reporting errors
b. MDM eliminates the need for data governance
c. MDM improves data accuracy and reliability
d. MDM restricts auditability
Answer: cinformatica+1
Which MDM process handles identifying and fixing data errors?
a. Data encryption
b. Error detection and correction
c. Data migration
d. Visualization only
Answer: bsemarchy
In MDM, stakeholder engagement is important because:
a. It slows down the process
b. Ensures business needs align with MDM goals
c. Only technical teams should have input
d. It is mandatory by law
Answer: beverconnectds+1
Master data often refers to entities that:
a. Change frequently like sensor logs
b. Are core to business, like customers and products
c. Are disappearing frequently
d. Are always unstructured
Answer: bsap+1
Which is a major MDM vendors/tools?
a. Google Sheets
b. Informatica MDM
c. WordPad
d. MS Paint
Answer: binformatica
What is a common output of successful MDM projects?
a. Multiple conflicting reports
b. Consistent, trusted business analytics
c. Reduced report frequency
d. Overwritten historical data
Answer: bmckinsey+2
Handling master data across cloud and on-premises systems is known as:
a. Data visualization
b. Hybrid MDM
c. Data obfuscation
d. Standalone ETL
Answer: bmckinsey+1
Which is a fundamental pillar of MDM?
a. Random data entry
b. Data quality assurance
c. Experimental code updates
d. Social engagement
Answer: bsap+1
What typically triggers the need for MDM in an organization?
a. Small, simple dataset only
b. Mergers, acquisitions, or platform integrations
c. Old marketing content
d. Audio transcription
Answer: bsemarchy+1
Metadata management in MDM ensures:
a. Forgotten records
b. Improved data understanding and interoperability
c. Hardware upgrades
d. Data minimization
Answer: bestuary
What is a critical component of the MDM architecture?
a. Isolated spreadsheets
b. Central master data repository
c. Temporary data lakes
d. Standalone presentation layer
Answer: bsap+1
Data lineage in MDM helps organizations:
a. Hide data changes
b. Track sourcing and changes over time
c. Randomize access
d. Improve font rendering
Answer: bestuary+1
Decentralized MDM approach means:
a. No single point for master data
b. Central data catalog only
c. Real-time backups daily
d. Frequent full restores
Answer: amckinsey
Frequent data assessment is a best practice in MDM to:
a. Degrade quality slowly
b. Quickly audit and improve master data quality
c. Lower accuracy
d. Disable access controls
Answer: binfosysbpm+1
One undesired outcome of poor MDM is:
a. Improved reporting
b. Data inconsistencies and business confusion
c. Smart visualizations
d. Reduced redundancy
Answer: bsap+2
The process of harmonizing master data across business applications is called:
a. Data archiving
b. Master data integration
c. Report automation
d. Test data generation
Answer: binformatica+1
MDM is fundamental to supporting which type of analytics?
a. Visual analytics only
b. Reliable enterprise analytics and business intelligence
c. Local spreadsheet reports
d. Static dashboards
Answer: binformatica+2

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