Actuarial Notes

SOA Exam SRM Sample Question 36

Study guide: Exam SRM

Determine which of the following statements about hierarchical clustering is/are true.

  • I. The method may not assign extreme outliers to any cluster.

  • II. The resulting dendrogram can be used to obtain different numbers of clusters.

  • III. The method is not robust to small changes in the data.

  • A) None

  • B) I and II only

  • C) I and III only

  • D) II and III only

  • E) The correct answer is not given by (A), (B), (C), or (D).

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