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IAPP AIGP Artificial Intelligence Governance Professional Exam Practice Test

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Total 165 questions

Artificial Intelligence Governance Professional Questions and Answers

Question 1

CASE STUDY

Please use the following answer the next question:

A mid-size US healthcare network has decided to develop an Al solution to detect a type of cancer that is most likely arise in adults. Specifically, the healthcare network intends to create a recognition algorithm that will perform an initial review of all imaging and then route records a radiologist for secondary review pursuant Agreed-upon criteria (e.g., a confidence score below a threshold).

To date, the healthcare network has taken the following steps: defined its Al ethical principles: conducted discovery to identify the intended uses and success criteria for the system: established an Al governance committee; assembled a broad, crossfunctional team with clear roles and responsibilities; and created policies and procedures to document standards, workflows, timelines and risk thresholds during the project.

The healthcare network intends to retain a cloud provider to host the solution and a consulting firm to help develop the algorithm using the healthcare network's existing data and de-identified data that is licensed from a large US clinical research partner.

The most significant risk from combining the healthcare network’s existing data with the clinical research partner data is?

Options:

A.

Privacy risk.

B.

Security risk.

C.

Operational risk.

D.

Reputational risk.

Question 2

A shipping service based in the US is looking to expand its operations into the EU. It utilizes an in-house developed multimodal AI model that analyzes all personal data collected from shipping senders and recipients, and optimizes shipping routes and schedules based on this data.

As they expand into the EU, all of the following descriptions should be included in the technical documentation for their AI model EXCEPT?

Options:

A.

A general description of the AI system.

B.

A description of the prioritization of the risks of deployment of the AI system.

C.

A description of the appropriateness of the performance metrics for the specific AI system.

D.

A detailed description of the elements of the AI system and of the process for its development.

Question 3

All of the following types of testing can help evaluate the performance of a responsible Al system EXCEPT?

Options:

A.

Risk probability/severity.

B.

Adversarial robustness.

C.

Statistical sampling.

D.

Decision analysis.

Question 4

You are part of your organization’s ML engineering team and notice that the accuracy of a model that was recently deployed into production is deteriorating.

What is the best first step address this?

Options:

A.

Replace the model with a previous version.

B.

Conduct champion/challenger testing.

C.

Perform an audit of the model.

D.

Run red-teaming exercises.

Question 5

MULTI-SELECT

Please select 3 of the 5 options below. No partial credit will be given.

What are the roles and responsibilities of deployers of a proprietary model?

Options:

A.

Ethical testing.

B.

Ethical design.

C.

Technical performance.

D.

System documentation.

E.

Regulatory compliance.

Question 6

Retrieval-Augmented Generation (RAG) is defined as?

Options:

A.

Combining LLMs with private knowledge bases to improve their outputs.

B.

Reducing computational processing requirements of the LLMs.

C.

Applying advanced filtering techniques to the LLMs.

D.

Fine tuning LLMs to minimize biased outputs.

Question 7

Training data is best defined as a subset of data that is used to?

Options:

A.

Enable a model to detect and learn patterns.

B.

Fine-tune a model to improve accuracy and prevent overfitting.

C.

Detect the initial sources of biases to mitigate prior to deployment.

D.

Resemble the structure and statistical properties of production data.

Question 8

CASE STUDY

Please use the following answer the next question:

A mid-size US healthcare network has decided to develop an Al solution to detect a type of cancer that is most likely arise in adults. Specifically, the healthcare network intends to create a recognition algorithm that will perform an initial review of all imaging and then route records a radiologist for secondary review pursuant agreed-upon criteria (e.g., a confidence score below a threshold).

To date, the healthcare network has taken the following steps: defined its Al ethical principles: conducted discovery to identify the intended uses and success criteria for the system: established an Al governance committee; assembled a broad, crossfunctional team with clear roles and responsibilities; and created policies and procedures to document standards, workflows, timelines and risk thresholds during the project.

The healthcare network intends to retain a cloud provider to host the solution and a consulting firm to help develop the algorithm using the healthcare network's existing data and de-identified data that is licensed from a large US clinical research partner.

Which stakeholder group is most important in selecting the specific type of algorithm?

Options:

A.

The cloud provider.

B.

The consulting firm.

C.

The healthcare network'sdata science team.

D.

The healthcare network's Al governance committee.

Question 9

CASE STUDY

Please use the following answer the next question:

A local police department in the United States procured an Al system to monitor and analyze social media feeds, online marketplaces and other sources of public information to detect evidence of illegal activities (e.g., sale of drugs or stolen goods). The Al system works by surveilling the publicsites in order to identify individuals that are likely to have committed a crime. It cross-references the individuals against data maintained by law enforcement and then assigns a percentage score of the likelihood of criminal activity based on certain factors like previous criminal history, location, time, race and gender.

The police department retained a third-party consultant assist in the procurement process, specifically to evaluate two finalists. Each of the vendors provided information about their system's accuracy rates, the diversity of their training data and how their system works. The consultant determined that the first vendor’s system has a higher accuracy rate and based on this information, recommended this vendor to the police department.

The police department chose the first vendor and implemented its Al system. As part of the implementation, the department and consultant created a usage policy for the system, which includes training police officers on how the system works and how to incorporate it into their investigation process.

The police department has now been using the Al system for a year. An internal review has found that every time the system scored a likelihood of criminal activity at or above 90%, the police investigation subsequently confirmed that the individual had, in fact, committed a crime. Based on these results, the police department wants to forego investigations for cases where the Al system gives a score of at least 90% and proceed directly with an arrest.

When notifying an accused perpetrator, what additional information should a police officer provide about the use of the Al system?

Options:

A.

Information about the accuracy of the Al system.

B.

Information about how the accused can oppose the charges.

C.

Information about the composition of the training data of the system.

D.

Information about how the individual was identified by the Al system.

Question 10

All of the following are required for high-risk AI systems under the EU AI Act EXCEPT?

Options:

A.

Retaining system-generated logs for at least six months.

B.

Conducting post-market monitoring.

C.

Conducting a conformity assessment.

D.

Publishing a detailed report on the training data used.

Question 11

CASE STUDY

Please use the following answer the next question:

A local police department in the United States procured an Al system to monitor and analyze social media feeds, online marketplaces and other sources of public information to detect evidence of illegal activities (e.g., sale of drugs or stolen goods). The Al system works by surveilling the public sites in order to identify individuals that are likely to have committed a crime. It cross-references the individuals against data maintained by law enforcement and then assigns a percentage score of the likelihood of criminal activity based on certain factors like previous criminal history, location, time, race and gender.

The police department retained a third-party consultant assist in the procurement process, specifically to evaluate two finalists. Each of the vendors provided information about their system's accuracy rates, the diversity of their training data and how their system works. The consultant determined that the first vendor’s system has a higher accuracy rate and based on this information, recommended this vendor to the police department.

The police department chose the first vendor and implemented its Al system. As part of the implementation, the department and consultant created a usage policy for the system, whichincludes training police officers on how the system works and how to incorporate it into their investigation process.

The police department has now been using the Al system for a year. An internal review has found that every time the system scored a likelihood of criminal activity at or above 90%, the police investigation subsequently confirmed that the individual had, in fact, committed a crime. Based on these results, the police department wants to forego investigations for cases where the Al system gives a score of at least 90% and proceed directly with an arrest.

What is the best reason the police department should continue to perform investigations even if the Al system scores an individual's likelihood of criminal activity at or above 90%?

Options:

A.

Because the department did not perform an impact assessment for this intended use.

B.

Because Al systems that affect fundamental civil rights should not be fully automated.

C.

Because investigations may identify additional individuals involved in the crime.

D.

Because investigations may uncover information relevant to sentencing.

Question 12

During the development of semi-autonomous vehicles, various failures occurred as a result of the sensors misinterpreting environmental surroundings, such as sunlight.

These failures are an example of?

Options:

A.

Hallucination.

B.

Brittleness.

C.

Uncertainty.

D.

Forgetting.

Question 13

Which of the following deployments of generative Al best respects intellectual property rights?

Options:

A.

The system produces content that is modified to closely resemble copyrightedwork.

B.

The system categorizes and applies filters to content based on licensing terms.

C.

The system provides attribution to creators of publicly available information.

D.

The system produces content that includes trademarks and copyrights.

Question 14

CASE STUDY

Please use the following answer the next question:

A local police department in the United States procured an Al system to monitor and analyze social media feeds, online marketplaces and other sources of public information to detect evidence of illegal activities (e.g., sale of drugs or stolen goods). The Al system works by surveilling the public sites in order to identify individuals that are likely to have committed a crime. It cross-references the individuals against data maintained by law enforcement and then assigns a percentage score of the likelihood of criminal activity based on certain factors like previous criminal history, location, time, race and gender.

The police department retained a third-party consultant assist in the procurement process, specifically to evaluate two finalists. Each of the vendors provided information about their system's accuracy rates, the diversity of their training data and how their system works. The consultant determined that the first vendor’s system has a higher accuracy rate and based on this information, recommended this vendor to the police department.

The police department chose the first vendor and implemented its Al system. As part of the implementation, the department and consultant created a usage policy for the system, which includes training police officers on how the system works and how to incorporate it into their investigation process.

The police department has now been using the Al system for a year. An internal review has found that every time the system scored a likelihood of criminal activity at or above 90%, the police investigation subsequently confirmed that the individual had, in fact, committed a crime. Based on these results, the police department wants to forego investigations for cases where the Al system gives a score of at least 90% and proceed directly with an arrest.

Which Al risk would NOT have been identified during the procurement process based on the categories of information requested by the third-party consultant?

Options:

A.

Security.

B.

Accuracy.

C.

Explainability.

D.

Discrimination.

Question 15

MULTI-SELECT

Please select 3 of the 5 options below. No partial credit will be given.

Training an AI model is time-consuming because of?

Options:

A.

The complexity of the AI model.

B.

The maturity of AI governance.

C.

The volume of training data.

D.

The number of stakeholders.

E.

The quality of the training data.

Question 16

Business A sells software that provides users with writing and grammar assistance. Business B is a cloud services provider that trains its own AI models.

* Business A has decided to add generative AI features to their software.

* Rather than create their own generative AI model, Business A has chosen to license a model from Business B.

* Business A will then integrate the model into their writing assistance software to provide generative AI capabilities.

* Business A is most concerned that its writing assistance software could recommend toxic or obscene text to its users.

Which of the following governance processes should Business A take to best protect its users against potentially inappropriate text?

Options:

A.

Business A should fine-tune the AI model on user-generated text that has been verified to be appropriate.

B.

Business A should test that the AI model performs as expected and meets their minimum requirements for filtering toxic or obscene text.

C.

Business A should establish a user reporting feature that allows users to flag toxic or obscene text, and report any incidents to Business B.

D.

Business A should ask Business B for detailed documentation on the generative AI model's training data and whether it contained toxic or obscene sources.

Question 17

Please select 3 of the 5 options below. No partial credit will be given.

All of the following are unique characteristics of AI that require a comprehensive approach to governance EXCEPT?

Options:

A.

Autonomy.

B.

Automation.

C.

Adaptability.

D.

Speed and scale.

E.

Superintelligence.

Question 18

Which of the following is the least relevant consideration in assessing whether users should be given the right to opt out from an Al system?

Options:

A.

Feasibility.

B.

Risk to users.

C.

Industry practice.

D.

Cost of alternative mechanisms.

Question 19

Retraining an LLM can be necessary for all of the following reasons EXCEPT?

Options:

A.

To minimize degradation in prediction accuracy due tochanges in data.

B.

Adjust the model's hyper parameters to a specific use case.

C.

Account for new interpretations of the same data.

D.

To ensure interpretability of the model's predictions.

Question 20

Which stakeholder is responsible for lawful collection of data for the training of the foundational AI model?

Options:

A.

The marketing agency.

B.

The tech company.

C.

The data aggregator.

D.

The marketing agency's client.

Question 21

A company has trained an ML model primarily using synthetic data, and now intends to use live personal data to test the model.

Which of the following is NOT a best practice apply during the testing?

Options:

A.

The test data should be representative of the expected operational data.

B.

Testing should minimize human involvement to the extent practicable.

C.

The test data should be anonymized to the extent practicable.

D.

Testing should be performed specific to the intended uses.

Question 22

A company plans on procuring a tool from an Al provider for its employees to use for certain business purposes.

Which contractual provision would best protect the company's intellectual property in the tool, including training and testing data?

Options:

A.

The provider willgive privacy notice to individuals before using their personal data to train or test the tool.

B.

The provider willdefend and indemnify the company against infringement claims.

C.

The provider willobtain and maintain insurance to cover potential claims.

D.

The provider willwarrant that the tool will work as intended.

Question 23

The best practice to manage third-party risk associated with AI systems is to create and implement policies that?

Options:

A.

Focus on the financial stability of third-party vendors as the primary criterion for risk assessment.

B.

Provide for an appropriate level of due diligence and ongoing monitoring based on the defined risk.

C.

Require third-party AI systems to undergo a comprehensive audit by an external cybersecurity firm every six months.

D.

Focus on the technical aspects of AI systems, such as data security, while ethical risks are addressed through suitable contracts.

Question 24

When monitoring the functional performance of a model that has been deployed into production, all of the following are concerns EXCEPT?

Options:

A.

Feature drift.

B.

System cost.

C.

Model drift.

D.

Data loss.

Question 25

Why is it important that conformity requirements are satisfied before an AI system is released into production?

Options:

A.

To ensure the visual design is fit-for-purpose.

B.

To ensure the AI system is easy for end-users to operate.

C.

To guarantee interoperability of the AI system across multiple platforms and environments.

D.

To comply with legal and regulatory standards, ensuring the AI system is safe and trustworthy.

Question 26

According to the Singapore Model Al Governance Framework, all of the following are recommended measures to promote the responsible use of Al EXCEPT?

Options:

A.

Determining the level of human involvement in algorithmic decision-making.

B.

Adapting the existing governance structure algorithmic decision-making.

C.

Employing human-over-the-loop protocols for high-risk systems.

D.

Establishing communications and collaboration among stakeholders.

Question 27

What is the 1956 Dartmouth summer research project on Al best known as?

Options:

A.

A meeting focused on the impacts of the launch of the first mass-produced computer.

B.

A research project on the impacts of technology on society.

C.

A research project to create a test for machine intelligence.

D.

A meeting focused on the founding of the Al field.

Question 28

What is the primary reason the EU is considering updates to its Product Liability Directive?

Options:

A.

To increase the minimum warranty level for defective goods.

B.

To define new liability exemptions for defective products.

C.

Address digital services and connected products.

D.

Address free and open-source software.

Question 29

All of the following are common optimization techniques in deep learning to determine weights that represent the strength of the connection between artificial neurons EXCEPT?

Options:

A.

Gradient descent, which initially sets weights arbitrary values, and then at each step changes them.

B.

Momentum, which improves the convergence speed and stability of neural network training.

C.

Autoregression, which analyzes and makes predictions about time-series data.

D.

Backpropagation, which starts from the last layer working backwards.

Question 30

Scenario:

A global organization wants to align with international frameworks on AI governance. They are reviewing guidance from the OECD on how to incorporate broader governance tools into their AI program.

Codes of conductandcollective agreementsare what type of assessment tools as defined by theOrganization for Economic Cooperation and Development (OECD)?

Options:

A.

Educational

B.

Procedural

C.

Technical

D.

Analytic

Question 31

A U.S. mortgage company developed an Al platform that was trained using anonymized details from mortgage applications, including the applicant’s education, employment and demographic information, as well as from subsequent payment or default information. The Al platform will be used automatically grant or deny new mortgage applications, depending on whether the platform views an applicant as presenting a likely risk of default.

Which of the following laws is NOT relevant to this use case?

Options:

A.

Fair Housing Act.

B.

Fair Credit Reporting Act.

C.

Equal Credit Opportunity Act.

D.

Title VII of the Civil Rights Act of 1964.

Question 32

Scenario:

A financial services company is planning a new AI project to assess creditworthiness. The AI team is mapping out what tasks should be completed during theplanning phaseof the AI lifecycle.

The planning phase of the AI lifecycle includes all of the following EXCEPT:

Options:

A.

Definition of underlying assumptions

B.

Approach to governance

C.

Choice of the architecture

D.

Context in which the model will operate

Question 33

CASE STUDY

Please use the following answer the next question:

ABC Corp, is a leading insurance provider offering a range of coverage options to individuals. ABC has decided to utilize artificial intelligence to streamline and improve its customer acquisition and underwriting process, including the accuracy and efficiency of pricing policies.

ABC has engaged a cloud provider to utilize and fine-tune its pre-trained, general purpose large language model (“LLM”). In particular, ABC intends to use its historical customer data—including applications, policies, and claims—and proprietary pricing and risk strategies to provide an initial qualification assessment of potential customers, which would then be routed tA. human underwriter for final review.

ABC and the cloud provider have completed training and testing the LLM, performed a readiness assessment, and made the decision to deploy the LLM into production. ABC has designated an internal compliance team to monitor the model during the first month, specifically to evaluate the accuracy, fairness, and reliability of its output. After the first month in production, ABC realizes that the LLM declines a higher percentage of women's loan applications due primarily to women historically receiving lower salaries than men.

The best approach to enable a customer who wants information on the Al model's parameters for underwriting purposes is to provide?

Options:

A.

A transparency notice.

B.

An opt-out mechanism.

C.

Detailed terms of service.

D.

Customer service support.

Question 34

What is theprimary purposeof an AI impact assessment?

Options:

A.

To determine whether a conformity assessment is needed

B.

To escalate the findings to the appropriate owner(s)

C.

To identify and measure the benefits of an AI system

D.

To anticipate and manage the potential risks and harms of an AI system

Question 35

According to the EU Al Act, providers of what kind of machine learning systems will be required to register with an EU oversight agency before placing their systems in the EU market?

Options:

A.

Al systems that are harmful based on a legal risk-utility calculation.

B.

Al systems that are "strong" general intelligence.

C.

Al systems trained on sensitive personal data.

D.

Al systems that are high-risk.

Question 36

CASE STUDY

Please use the following answer the next question:

Good Values Corporation (GVC) is a U.S. educational services provider that employs teachers to create and deliver enrichment courses for high school students. GVC has learned that many of its teacher employees are using generative Al to create the enrichment courses, and that many of the students are using generative Al to complete their assignments.

In particular, GVC has learned that the teachers they employ used open source large language models (“LLM”) to develop an online tool that customizes study questions for individual students. GVC has also discovered that an art teacher has expressly incorporated the use of generative Al into the curriculum to enable students to use prompts to create digital art.

GVC has started to investigate these practices and develop a process to monitor any use of generative Al, including by teachers and students, going forward.

All of the following may be copyright risks from teachers using generative Al to create course content EXCEPT?

Options:

A.

Content created by an LLM may be protectable under U.S. intellectual property law.

B.

Generative Al is generally trained using intellectual property owned by third parties.

C.

Students must expressly consent to this use of generative Al.

D.

Generative Al often creates content without attribution.

Question 37

All of the following may be permissible uses of an Al system under the EU Al Act EXCEPT?

Options:

A.

To detect an individual's intent for law enforcement purposes.

B.

To promote equitable distribution of welfare benefits.

C.

To implement social scoring.

D.

To manage border control.

Question 38

CASE STUDY

Please use the following answer the next question:

XYZ Corp., a premier payroll services company that employs thousands of people globally, is embarking on a new hiring campaign and wants to implement policies and procedures to identify and retain the best talent. The new talent will help the company's product team expand its payroll offerings to companies in the healthcare and transportation sectors, including in Asia.

It has become time consuming and expensive for HR to review all resumes, and they are concerned that human reviewers might be susceptible to bias.

Address these concerns, the company is considering using a third-party Al tool to screen resumes and assist with hiring. They have been talking to several vendors about possibly obtaining a third-party Al-enabled hiring solution, as long as it would achieve its goals and comply with all applicable laws.

The organization has a large procurement team that is responsible for the contracting of technology solutions. One of the procurement team's goals is to reduce costs, and it often prefers lower-cost solutions. Others within the company are responsible for integrating and deploying technology solutions into the organization's operations in a responsible, cost-effective manner.

The organization is aware of the risks presented by Al hiring tools and wants to mitigate them. It also questions how best to organize and train its existing personnel to use the Al hiring tool responsibly. Their concerns are heightened by the fact that relevant laws vary across jurisdictions and continue to change.

Which other stakeholder groups should be involved in the selection and implementation of the Al hiring tool?

Options:

A.

Finance and Legal.

B.

Marketing and Compliance.

C.

Supply Chain and Marketing.

D.

Litigation and Product Development.

Question 39

CASE STUDY

Please use the following answer the next question:

Good Values Corporation (GVC) is a U.S. educational services provider that employs teachers to create and deliver enrichment courses for high school students. GVC has learned that many of its teacher employees are using generative Al to create the enrichment courses, and that many of the students are using generative Al to complete their assignments.

In particular, GVC has learned that the teachers they employ used open source large language models (“LLM”) to develop an online tool that customizes study questions for individual students. GVC has also discovered that an art teacher has expressly incorporated the use of generative Al into the curriculum to enable students to use prompts to create digital art.

GVC has started to investigate these practices and develop a process to monitor any use of generative Al, including by teachers and students, going forward.

Which of the following risks should be of the highest concern to individual teachers using generative Al to ensure students learn the course material?

Options:

A.

Financial cost.

B.

Model accuracy.

C.

Technical complexity.

D.

Copyright infringement.

Question 40

Which of the following is NOT a common type of machine learning?

Options:

A.

Deep learning.

B.

Cognitive learning.

C.

Unsupervised learning.

D.

Reinforcement learning.

Question 41

CASE STUDY

A premier payroll services company that employs thousands of people globally, is embarking on a new hiring campaign and wants to implement policies and procedures to identify and retain the best talent. The new talent will help the company's product team expand its payroll offerings to companies in the healthcare and transportation sectors, including in Asia.

It has become time consuming and expensive for HR to review all resumes, and they are concerned that human reviewers might be susceptible to bias.

To address these concerns, the company is considering using a third-party Al tool to screen resumes and assist with hiring. They have been talking to several vendors about possibly obtaining a third-party Al-enabled hiring solution, as long as it would achieve its goals and comply with all applicable laws.

The organization has a large procurement team that is responsible for the contracting of technology solutions. One of the procurement team's goals is to reduce costs, and it often prefers lower-cost solutions. Others within the company deploy technology solutions into the organization’s operations in a responsible, cost-effective manner.

The organization is aware of the risks presented by Al hiring tools and wants to mitigate them. It also questions how best to organize and train its existing personnel to use the Al hiring tool responsibly. Their concerns are heightened by the fact that relevant laws vary across jurisdictions and continue to change.

The organization continues planning the adoption of an AI tool to support hiring, but is concerned about potential bias in content generated by AI systems and how that could affect public perception.

Which of the following measures should the company adopt tobest mitigate its risk of reputational harmfrom using the AI tool?

Options:

A.

Test the AI tool pre- and post-deployment

B.

Ensure the vendor provides indemnification for the AI tool

C.

Require the procurement and deployment teams to agree upon the AI tool

D.

Continue to require the company’s hiring personnel to manually screen all applicants

Question 42

Random forest algorithms are in what type of machine learning model?

Options:

A.

Symbolic.

B.

Generative.

C.

Discriminative.

D.

Natural language processing.

Question 43

Scenario:

An organization is developing a powerful general-purpose AI (GPAI) model that has systemic impact. The compliance team is assessing what legal obligations apply under the EU AI Act.

Under the EU AI Act, which of the following compliance actions appliesonly to General Purpose AI models with systemic risk?

Options:

A.

Publishing a detailed summary of the data used to train the model

B.

Maintaining up-to-date technical documentation, including testing details

C.

Implementing an intellectual property policy to comply with EU copyright laws

D.

Making information available to downstream providers who integrate the model into their AI systems

Question 44

According to the GDPR, what is an effective control to prevent a determination based solely on automated decision-making?

Options:

A.

Provide a just-in-time notice about the automated decision-making logic.

B.

Define suitable measures to safeguard personal data.

C.

Provide a right to review automated decision.

D.

Establish a human-in-the-loop procedure.

Question 45

Scenario:

A distributor operating in the EU is responsible for selling imported high-risk AI systems to businesses. The distributor wants to ensure they fulfill all applicable obligations under the EU AI Act.

All of the following are obligations of a distributor of high-risk AI systems under the EU AI Act EXCEPT?

Options:

A.

Corrective actions

B.

Verification of CE marking

C.

Registration in EU Database

D.

Communication with national authorities

Question 46

CASE STUDY

Please use the following answer the next question:

ABC Corp, is a leading insurance provider offering a range of coverage options to individuals. ABC has decided to utilize artificial intelligence to streamline and improve its customer acquisition and underwriting process, including the accuracy and efficiency of pricing policies.

ABC has engaged a cloud provider to utilize and fine-tune its pre-trained, general purpose large language model (“LLM”). In particular, ABC intends to use its historical customer data—including applications, policies, and claims—and proprietary pricing and risk strategies to provide aninitial qualificationassessment of potential customers, which would then be routed a human underwriter for final review.

ABC and the cloud provider have completed training and testing the LLM, performed a readiness assessment, and made the decision to deploy the LLM into production. ABC has designated an internal compliance team to monitor the model during the first month, specifically to evaluate the accuracy, fairness, and reliability of its output. After the first month in production, ABC realizes that the LLM declines a higher percentage of women's loan applications due primarily to women historically receiving lower salaries than men.

What is the best strategy to mitigate the bias uncovered in the loan applications?

Options:

A.

Retrain the model with data that reflects demographic parity.

B.

Procure a third-party statistical bias assessment tool.

C.

Document all instances of bias in the data set.

D.

Delete all gender-based data in the data set.

Question 47

A US company has developed an Al system,Crime Buster9619, that collects information about incarcerated individuals to help parole boards predict whether someone is likely to commit another crime if released from prison.

When considering expanding to the EU market, this type of technology would?

Options:

A.

Require the company to register the tool with the EU database.

B.

Be subject approval by the relevant EU authority.

C.

Require a detailed conformity assessment.

D.

Be banned under the EU Al Act.

Question 48

CASE STUDY

Please use the following answer the next question:

XYZ Corp., a premier payroll services company that employs thousands of people globally, is embarking on a new hiring campaign and wants to implement policies and procedures to identify and retain the best talent. The new talent will help the company's product team expand its payroll offerings to companies in the healthcare and transportation sectors, including in Asia.

It has become time consuming and expensive for HR to review all resumes, and they are concerned that human reviewers might be susceptible to bias.

Address these concerns, the company is considering using a third-party Al tool to screen resumes and assist with hiring. They have been talking to several vendors about possibly obtaining a third-party Al-enabled hiring solution, as long as it would achieve its goals and comply with all applicable laws.

The organization has a large procurement team that is responsible for the contracting of technology solutions. One of the procurement team's goals is to reduce costs, and it often prefers lower-cost solutions. Others within the company are responsible for integrating and deploying technology solutions into the organization's operations in a responsible, cost-effective manner.

The organization is aware of the risks presented by Al hiring tools and wants to mitigate them. It also questions how best to organize and train its existing personnel to use the Al hiring tool responsibly. Their concerns are heightened by the fact that relevant laws vary across jurisdictions and continue to change.

The frameworks that would be most appropriate for XYZ's governance needs would be the NIST Al Risk Management Framework and?

Options:

A.

NIST Information Security Risk (NIST SP 800-39).

B.

NIST Cyber Security Risk Management Framework (CSF 2.0).

C.

IEEE Ethical System Design Risk Management Framework (IEEE 7000-21).

D.

Human Rights, Democracy, and Rule of Law Impact Assessment (HUDERIA).

Question 49

A company is creating a mobile app to enable individuals to upload images and videos, and analyze this data using ML to provide lifestyle improvement recommendations. The signup form has the following data fields:

1.First name

2.Last name

3.Mobile number

4.Email ID

5.New password

6.Date of birth

7.Gender

In addition, the app obtains a device's IP address and location information while in use.

What GDPR privacy principles does this violate?

Options:

A.

Purpose Limitation and Data Minimization.

B.

Accountability and Lawfulness.

C.

Transparency and Accuracy.

D.

Integrity and Confidentiality.

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Total 165 questions