This example shows how Ruby's sort_by method works. We start with an array of words. Each word is passed to the block, which returns the word's length as the sort key. The method collects these keys, then sorts the original elements by these keys. The original array remains unchanged. The result is a new array sorted by word length. This process is shown step-by-step in the execution table and variable tracker. Key moments clarify why sort_by uses keys and does not modify the original array. The quiz tests understanding of keys and sorting steps.