Quiz Space

Financial Forensics · End Term · 1 Sept 2024 · May 2024 term · Set QDB1

Question 12: In the context of reject inferencing, what does 'good re…

Question 12

+1 markOne correct option

In the context of reject inferencing, what does 'good reject' refer to?

  1. A

    An incorrectly inferred rejected case

  2. B

    A rejected case that should have been accepted based on model prediction

  3. C

    A correctly rejected case

  4. D

    A rejected case used as a reference for model adjustments

Show answer

Correct answer

  • B

    A rejected case that should have been accepted based on model prediction

Video solution

The video solution to this question is being recorded and will play here. Until then, the answer key is above.

See the whole paperTake it as a mock test

Question 12 of 41 in the IIT Madras BS Financial Forensics (Financial Forensics) End Term paper sat on 1 Sept 2024, in the May 2024 term (IIT M DEGREE AN EXAM QDB3 01 Sep 2024). It carries 1 mark.

More questions from this paper

  1. Q1If a model predicts the positive class for all observations in a binary classification problem with both positive and n…
  2. Q2What is the KS of the below gains table? | Rank | Min | Max | Total Volume | Bads Volume | Goods Volume | KS | |---|---…
  3. Q3What is the Capture Rate of Bads at top 20%? | Rank | Min | Max | Total Volume | Bads Volume | Goods Volume | KS | |---…
  4. Q4What is the Capture Rate of applications having score greater than 195? | Rank | Min | Max | Total Volume | Bads Volume…
  5. Q5The Bankruptcy Bank, one of the major lending banks, has hired you to build a credit underwriting model to help their a…
  6. Q6Rollrate analysis is used to determine which of the following?
  7. Q7Which of the following possibly happens after approving credit?
  8. Q8Stemming is slower than Lemmatization
  9. Q9Which of the following is not a text preprocessing technique?
  10. Q10Given the sentence:\ "Customer sign-up rates have increased by 25% in the last quarter."\ Output:\ ['customer', 'sign',…
  11. Q11What is reject inferencing in the context of machine learning?
  12. Q13In a credit risk scenario, if a model has high recall but low precision, it implies that:
  13. Q14Which scenario is likely to occur if a credit risk model is optimized solely for high recall?
  14. Q15In a SHAP summary plot, what does the colour of the points typically represent?
  15. Q16What does “local predictability” refer to in the context of SHAP explanations?
  16. Q17If average total assets increase, but net income, net sales, and average stockholders' equity remain the same, what is …
  17. Q18Info Systems Inc. has sales of ₹ 2,820, costs of goods sold of ₹ 2,160, inventory of ₹504, and accounts receivable of ₹…
  18. Q19You have been awarded an insurance settlement of ₹ 250,000 that is payable one year from today. What is the minimum amo…
  19. Q20An insurance settlement offer includes annual payments of ₹ 36,000, ₹ 42,000, and ₹ 50,000 over the next three years, r…
  20. Q21Scott has been offered an employment contract for ten years at a starting salary of ₹ 65,000 with guaranteed annual rai…
  21. Q22Which statement concerning the net present value (NPV) of an investment or a financing project is correct?
  22. Q23Wilson's Market is considering two mutually exclusive projects that will not be repeated. The required rate of return i…
  23. Q24It’s always good to have the debt equity ratio of 1 to have a lower WACC:
  24. Q25Which of the following statements are true with respect to ACF and PACF plots\ I. ACF plots are used to determining the…
  25. Q26What does the term 'liquidity' refer to in the context of a Balance Sheet?
  26. Q27Figure question
  27. Q28Which of the following would NOT appear in the P\&L statement?
  28. Q29ABC Bank has given INR 1,00,000 as an loan to it’s customer at the rate of 8.5% p.a. in January 2023. At the end of the…
  29. Q30What is the Roll Back rate for 150+ DPD after 18 MOB? (Express your answer as percentage)
  30. Q31What is the Roll Forward rate for 120-149 DPD after 18 MOB? (Express your answer as percentage)
  31. Q32XYZ Consulting paid dividends of ₹ 3,300 and total equity of ₹ 39,450. The debt-equity ratio is 1 and the retention rat…
  32. Q33Anu’s foods has net income of ₹ 39,900, net sales of ₹ 3,18,600, total assets of ₹ 6,63,000, common stock of ₹ 1,06,800…
  33. Q34ABC Inc. has net working capital of ₹ 580, net fixed assets of ₹ 2,326, sales of ₹ 6,900, and current liabilities of ₹ …
  34. Q35A firm has a return on equity of 25 percent. The total asset turnover is 2.4 and the profit margin is 8 percent. The to…
  35. Q36Sully will receive a perpetuity of ₹ 40,000 per year forever, while Jake will receive 4,00,000 annual payment for the n…
  36. Q37The risk-free rate of return is 3.6 percent and the market risk premium is 7.84 percent. What is the expected rate of r…
  37. Q38Suppose the risk free rate in the market is 5%, the expected market return is 7% and the beta of the stock is 1.4, at w…
  38. Q39Holmes, Inc., is a 90% equity and 10% debt financed firm. The unlevered beta is 0.60, the market risk premium is 6.67 p…
  39. Q40Compute the EBITDA
  40. Q41Compute the Net Profit