A credit card company wants to spot elusive patterns in credit card transaction records to be able to block fraudulent transactions. This company should use ________.
A) data mining
B) data warehouse appliance
C) data dredging
D) database schema

Question

Quizplus · Accepted Answer

Data mining involves using statistical and machine learning techniques to analyze large amounts of data and identify patterns, anomalies, and correlations that can then be used to make decisions or predictions. In this case, the credit card company wants to use data mining to identify patterns in transaction records that may indicate fraud. The other options are less relevant: a data warehouse appliance is a hardware and software system used to store and manage large amounts of data, but it is not specifically designed for analyzing data; data dredging is a term used to describe a process of analyzing data without a specific hypothesis or research question in mind, which is not appropriate for fraud detection; and a database schema is a way of organizing data within a database, but it is not a tool or technique for analyzing data.

A Credit Card Company Wants to Spot Elusive Patterns in Credit