Free GARP RAI Exam Questions

While using Naïve Bayes for text classification, a bank wants to classify customer feedback as “Good” or “Bad.” How does the model handle the probability of classifying feedback with words it hasn’t encountered?

An insurance company uses two different AI models for policy approval, one for Group A and another for Group B. The confusion matrices for each group are as follows:Group A Confusion Matrix:True Positives: 50False Positives: 10False Negatives: 40True Negatives: 90Group B Confusion Matrix:True Positives: 30False Positives: 20False Negatives: 70True Negatives: 80What fairness technique should the company use to balance the performance between the two groups?

A game developer uses a multi-arm bandit model to recommend different in-game offers to players. The model tracks which offers players respond to and adjusts future recommendations accordingly. In MAB terms, what is the purpose of the "policy" in this context?

An admissions committee decides to incorporate a measure of resilience alongside grades in its AI-based selection criteria. Which challenge is the committee likely to face with this approach to individual fairnes

A bank is developing its model risk governance framework to address ML/AI models. What foundational approach should the bank take?