Machine Learning Types
The problem involves predicting a discrete category ('fraud' vs 'not fraud') based on past examples containing the correct answer (labels). This defines Supervised Classification.
check_circleTherefore, the correct answer is: Supervised Learning (Classification).
cancelThe option that says: Unsupervised Learning (Clustering) is incorrect because it is used when we DO NOT have labels and want to find hidden groups, but here we already know the categories.
cancelThe option that says: Reinforcement Learning is incorrect because it trains an agent via rewards and punishments in a dynamic environment, not from a static historical dataset.
cancelThe option that says: Supervised Learning (Regression) is incorrect because it is used to predict continuous numerical values (like amount), not binary categories.