We do a take-home assignment for junior devs where I work. The actual coding knowledge is pretty minimal. Few people fail based on the code alone. What we're actually looking for is if they can follow directions. A surprising number of people can't read a list of requirements and make sure they all get implemented.
For junior devs, we don't actually care if they do it in 2 hours, 2 days, or the whole 7 days we allow them. There's no bonus points for turning it in the next day, and I don't think anyone has ever actually done that.
But we're at the point that if they fail a single point in the requirements, we stop looking at them. This was a really hard decision, because there are candidates who are really nice and seem to otherwise do good work, but we've hired some of them and they inevitably continue to skip steps even in simple tickets. We end up letting them go after multiple warnings and months of wasted time, and having to do it all over again.
Of course, if you can't code you aren't going to get in either, but that actually seems to be a lower bar than following directions.