Free GARP RAI Exam Questions

Become GARP Certified with updated RAI exam questions and correct answers

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Total 330 Questions | Updated On: Nov 28, 2024

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Question 1

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 : Equalize the number of true positives for both groups.

B : Adjust thresholds to achieve similar false positive rates for both groups.

C : Apply a higher penalty for false negatives in Group A.

D : Implement demographic parity by ensuring equal acceptance rates for both groups.

Answer: D

Question 2

Which of the following scenarios represents a binary classification problem?

A : Predicting the probability of different stock prices

B : Forecasting next month’s sales in dollars

C : Determining if a transaction is fraudulent or legitimate

D : Grouping customers into three income tiers

Answer: C

Question 3

A tech firm is developing a model to predict credit risk and wants to reduce testing bias while still evaluating performance. Which approach should it use?

A : Conduct black-box testing to assess functionality without internal bias.

B : Focus solely on white-box testing for thorough code analysis.

C : Rely on artificial test cases for full test coverage.

D : Avoid testing until after model deployment to prevent interruptions.

Answer: A

Question 4

A financial institution is implementing an AI model that uses proxies for loan approval decisions. Which of the following is a potential risk associated with using proxies?

A : Proxies might result in simplified metrics that don’t align with the actual objective.

B : Proxies require extensive computational resources.

C : Proxies ensure a direct alignment with the model’s intended objective.

D : Proxies make the model fully explainable to external auditors.

Answer: A

Question 5

A tech firm is developing a model to predict credit risk and wants to reduce testing bias while still evaluating performance. Which approach should it use?

A : Conduct black-box testing to assess functionality without internal bias.

B : Focus solely on white-box testing for thorough code analysis.

C : Rely on artificial test cases for full test coverage.

D : Avoid testing until after model deployment to prevent interruptions.

Answer: A

Page: 1 / 66

Total 330 Questions | Updated On: Nov 28, 2024

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