AAIA: Advanced in AI Audit

By Isaca · Question Mode

QuestionQ2

VerifiedAI Auditing Tools and Techniques

A financial services company is developing AI models to predict customer credit risk. To lessen privacy concerns, the company chooses to train the models primarily with synthetic data. Which of the following is an IS auditor’s BEST recommendation for evaluating synthetic-data risk?

Explanation

Synthetic data must be validated for quality and fitness for purpose because it can fail to represent the real population accurately or can introduce distortions and bias. Validation helps ensure the training data supports reliable credit-risk model outcomes while preserving the intended privacy benefits.

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