Question
In: Statistics and Probability
A large number of insurance records are to be examined to develop a model for predictive...
A large number of insurance records are to be examined to develop a model for predictive fraudulent claims. One of the claims in the historical database, 1% were judged to be fraudulent. A sample is taken to develop a model, and oversampling is used to provide a balance sample in light oath very low response date. When applied to this sample (n=800), the model ends up correctly classifying 310 frauds, and 270 nonfrauds. it missed 90 frauds, and classified 130 records incorrectly as frauds when they were not. a. Produce the classification matrix for the sample as it stands. b. Find the adjusted misclassification rate (adjusting for the oversampling). c. What percentage of new records would you expect to be classified as fraudulent? I already received an answer for the misclassification 220/800=27.54. then the model ends up classifying 57.51% of the frauds 1's... PLEASE explain how to get 57.5%. Thanks
Solutions
orchestra answered 2 years agoRelated Solutions
When will a company use a predictive decision model?
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Use Excel to develop a regression model for the Hospital Database to predict the number of...
Use Excel to develop a regression model for the Hospital
Database to predict the number of Personnel by the number of
Births. How many residuals are within 1 standard error? Write your
answer as a whole number.
Personnel
Births
792
312
1762
1077
2310
1027
328
355
181
168
1077
3810
742
735
131
1
1594
1733
233
257
241
169
203
430
325
0
676
2049
347
211
79
16
505
2648
1543
2450
755
1465
959
0
325...
Use Excel to develop a regression model for the Hospital Database to predict the number of...
Use Excel to develop a regression model for the Hospital
Database to predict the number of Personnel by the number of
Births. How many residuals are within 1 standard error? Write your
answer as a whole number.
Personnel(y)
Births(x)
792
312
1762
1077
2310
1027
328
355
181
168
1077
3810
742
735
131
1
1594
1733
233
257
241
169
203
430
325
0
676
2049
347
211
79
16
505
2648
1543
2450
755
1465
959
0
325...
An electronics company is looking to develop a regression model to predict the number of units...
An electronics company is looking to develop a regression model
to predict the number of units sold for a special running watch.
Data is provided below:
Sales (units)
Price ($)
Advertising ($)
Holiday
500
100
50
Yes
480
120
40
Yes
485
110
45
No
510
103
55
Yes
490
108
40
No
488
109
30
No
496
106
45
Yes
Compile a spreadsheet for the data and determine the predicted
number of units sold if the watch is sold...
An electronics company is looking to develop a regression model to predict the number of units...
An electronics company is looking to develop a regression model
to predict the number of units sold for a special running watch.
Data is provided below: Sales (units) Price ($) Advertising ($)
Holiday 500 100 50 Yes 480 120 40 Yes 485 110 45 No 510 103 55 Yes
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spreadsheet for the above data and determine the regression
equation Answer (a) X3 = 1 if...
advantages and limitations of maxent model vs glm model which model suggest to use for large number...
advantages and limitations of maxent model vs glm model
which model suggest to use for large number of
datasets
The ecological model asserts that individuals develop and grow within a number of reciprocal systems. These...
The
ecological model asserts that individuals develop and grow within a
number of reciprocal systems. These systems include the
micro-system, meso-system, exo-system, macro-system, and
chronosystem, with the individual at the center.
The ecological model is very helpful in understanding at-risk
families and youth and guiding advocacy efforts. Choose one person
from a book or movie. Explain the problems this person is facing
that may put him/her at-risk. Discuss, in depth and in detail, how each
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Use Excel to develop a multiple regression model to predict Cost of Materials by Number of...
Use Excel to develop a multiple regression model to predict Cost
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Value Added by Manufacture, and End-of-Year Inventories.
Locate the observed value that is in Industrial Group 12 and has
7 employees. Based on the model and the multiple regression output,
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SIC Code
No. Emp.
No. Prod. Wkrs.
Value Added by Mfg....
You will utilize a large dataset to create a predictive analytics algorithm in Python. For this...
You will utilize a large dataset to create a
predictive analytics algorithm in Python.
For this assignment, complete the following:
Utilize one of the following Web sites to identify a
dataset to use, preferably over 500K from Google databases, kaggle,
or the .gov data website
Utilize a machine learning algorithm to create a
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Part A: You have been hired by a company to build a predictive analytics model to...
Part
A: You have been hired by a company to build a predictive
analytics model to increase their sales. Before building the model,
your manager asked you to start with exploratory data analysis and
report the findings. Which visualization tools would you use to
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data, mean, IQR, and distribution of data, etc.? Be specific about
the tools and methods that display the skewness, similarity of
distributions, and whether data comes...
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