Question 251 · 368 in bank
Select 2A company wants to detect credit card fraud. The company has observed that an average of 2% of credit card transactions are fraudulent. A data scientist trains a classifier on a year's worth of credit card transaction data. The classifier needs to identify the fraudulent transactions. The company wants to accurately capture as many fraudulent transactions as possible. Which metrics should the data scientist use to optimize the classifier? (Choose two.)
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Answer: DE
Explanation
D. F1 score and E. True positive rate (Recall). F1 Score: This is the harmonic mean of precision and recall, providing a balance between the two. It is particularly useful when you need to balance the importance of both false positives and false negatives. True Positive Rate (Recall): This measures the proportion of actual fraudulent transactions that are correctly identified. High recall ensures that most fraudulent transactions are detected.
Source: Adapted from community discussion — MultiCloudIronMan