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AIF-C01 Practice Question: An insurance company is using a machine learning…

This AIF-C01 practice question tests your understanding of aif-c01 exam topics. Read the scenario carefully and evaluate each option against the stated constraints before committing to an answer. After answering, compare your reasoning against the explanation and wrong-answer breakdown below. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.

An insurance company is using a machine learning model to approve claims. They want to ensure that the model's approval rate is similar across different demographic groups. Which fairness metric would directly measure whether the proportion of positive outcomes is equal across groups?

Answer choices

Why each option matters

Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.

Correct answer & explanation

Demographic parity

Demographic parity, also known as statistical parity, requires that the probability of a positive outcome is the same for all groups. Equalized odds focuses on equal true positive and false positive rates, disparate impact measures the ratio of positive outcomes, but demographic parity directly compares proportions.

Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • Demographic parity

    Why this is correct

    Demographic parity measures whether the proportion of positive outcomes is the same across groups, directly addressing the requirement.

    Related concept

    Read the scenario before looking for a memorised answer.

  • Disparate impact ratio

    Why it's wrong here

    Disparate impact is the ratio of positive outcomes between groups, often compared to the 80% rule, but the question asks about equal proportions, not a ratio threshold.

  • Equalized odds

    Why it's wrong here

    Equalized odds requires that the model has equal true positive and false positive rates across groups, not equal overall outcome proportions.

  • SHAP values

    Why it's wrong here

    SHAP values measure feature importance for individual predictions, not group-level fairness metrics.

Common exam traps

Common exam trap: answer the scenario, not the keyword

Many certification questions include familiar terms but test a specific constraint. Read the exact wording before choosing an answer that is generally true but wrong for this case.

Detailed technical explanation

How to think about this question

This question should be treated as a scenario, not a definition check. Identify the problem, the constraint and the best action. Then compare each option against those facts.

KKey Concepts to Remember

  • Read the scenario before looking for a memorised answer.
  • Find the constraint that changes the correct option.
  • Eliminate answers that are true in general but not in this case.
  • Use explanations to understand the rule behind the answer.

TExam Day Tips

  • Underline the problem statement mentally.
  • Watch for words such as best, first, most likely and least administrative effort.
  • Review why wrong options are wrong, not only why the correct option is correct.

Key takeaway

Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.

Real-world example

How this comes up in practice

A cloud solutions architect for a retail company is evaluating services for a new workload. The correct answer here reflects best practice for the specific scenario described — not a general cloud recommendation. Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option. Cloud exam questions reward reading the constraint carefully: the same technology can be right or wrong depending on the use case.

Quick reference

RAID Level Comparison

RAID LevelMin DisksFault ToleranceReadWriteUsable Capacity
RAID 02NoneExcellentExcellent100%
RAID 121 diskGoodModerate50%
RAID 531 diskGoodModerate67–94%
RAID 642 disksGoodLower50–88%
RAID 1041 disk per mirrorExcellentGood50%

RAID is not a backup strategy — it protects against disk failure but not against accidental deletion, ransomware, or site-level events.

What to study next

Got this wrong? Here's your next step.

Identify which AIF-C01 exam domain this question belongs to, then review the specific concept being tested. Practise related questions in that domain and focus on understanding why each wrong answer is tempting — not just why the correct answer is right.

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FAQ

Questions learners often ask

What does this AIF-C01 question test?

Read the scenario before looking for a memorised answer.

What is the correct answer to this question?

The correct answer is: Demographic parity — Demographic parity, also known as statistical parity, requires that the probability of a positive outcome is the same for all groups. Equalized odds focuses on equal true positive and false positive rates, disparate impact measures the ratio of positive outcomes, but demographic parity directly compares proportions.

What should I do if I get this AIF-C01 question wrong?

Identify which AIF-C01 exam domain this question belongs to, then review the specific concept being tested. Practise related questions in that domain and focus on understanding why each wrong answer is tempting — not just why the correct answer is right.

What is the key concept behind this question?

Read the scenario before looking for a memorised answer.

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Last reviewed: Jul 4, 2026

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This AIF-C01 practice question is part of Courseiva's free Amazon Web Services certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the AIF-C01 exam.