ISACA Certified Artificial Intelligence Auditor (CAIA) — Question 31

An IS auditor notes that an AI model achieved significantly better results on training data than on test data. Which of the following problems with the model has the IS auditor identified?

Answer options

Correct answer: C

Explanation

The correct answer is C, Overfitting, as this occurs when a model learns the training data too well, capturing noise and details that do not generalize to new data. Underfitting (A) happens when a model is too simple to capture the underlying trend, while Bias (B) refers to systematic errors in predictions. Generalization (D) is the model's ability to perform well on unseen data, which is compromised in the case of overfitting.