Free RAI Mock Exam – Practice Online Confidently

A retail bank uses self-training to classify loan applicants as high or low risk, but it finds that updating the model after each new labeled data point is computationally intensive. Which approach can the bank use to reduce this burden?

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?

A bank is implementing a quantitative risk model (QRM) and needs to ensure that the model is designed in a way that can be accurately translated into code. Which implementation task should the bank prioritize first?

An analyst uses stepwise regression to build a predictive model for house prices. After starting with an empty model, the analyst adds features one by one until no further reduction in the Akaike Information Criterion (AIC) is achieved. Which method is the analyst using?

In cost complexity pruning, a bank uses a parameter, α, to balance the residual sum of squares (RSS) and the number of terminal nodes. What is the primary role of this parameter?