Business Intelligence Certification Practice Test 2025 – Complete Exam Prep

Descriptive analytics is the correct answer because it specifically involves analyzing historical performance data to summarize past events and understand how they have influenced current business conditions. This type of analytics provides insights through reporting, summarization of past data, and trends analysis, allowing organizations to comprehend what has happened over a specific timeframe.

The focus of descriptive analytics is on providing context to the data collected, such as sales figures from previous years or customer feedback trends. By examining historical performance, businesses can identify patterns and anomalies, which serve as a foundation for informed decision-making.

Other options, while valuable in their own right, serve different purposes. Predictive analytics is more concerned with using historical data to forecast future outcomes, seeking to answer questions about what is likely to happen next. Prescriptive analytics goes a step further by recommending actions based on predictive analyses. Transformational analytics, while not a standard category, implies a change-oriented approach involving multiple types of analytics, often focused on broader strategic objectives rather than just historical performance.