QuestionQ6

VerifiedTrain and use machine learning models

A Data Scientist wants to identify customer profiles that are likely to churn for a company. The training dataset contains 2% churn and 98% no churn, with churn encoded as 1 and no churn encoded as 0. The Data Scientist then ran the model in Snowpark.

After obtaining the confusion matrix, which value could give a misleading indication of model performance because the dataset is imbalanced?

Explanation

Accuracy can appear very high in a dataset with only 2% churn cases even when the model predicts every customer as no churn and identifies no actual churners. It is therefore not a reliable standalone performance measure for this imbalanced classification task.

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