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When a Decision Tree Classifies Customers into Good and Bad

question 77

Multiple Choice

When a decision tree classifies customers into good and bad prospects for future sales, a company should be careful not to ___________ the bad prospects based on this.


Definitions:

Note Receivable

A written promise for a specified amount of money to be paid by a debtor at a certain future date.

Principal

The original sum of money borrowed in a loan or the initial amount of investment, excluding any interest or profits.

Interest

A payment made for the use of borrowed money, usually calculated as a percentage of the principal amount.

Note Receivable

A written promise for amounts to be received by a debtor, where the debtor agrees to pay back the amount, often with interest, by a specified date.

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