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1 million card applications. $1 per application cost to do employment verification. 96% pass verification and get a card. 4% fail and do not get cards. Given average profits on cardholders in good standing, and average losses on accounts that default, find the % of denied cardholders that would have to default in order to justify the $1 per application verification cost .
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IT Development Program

Interviewed at Capital One

3.6★
Apr 3, 2012

1 million card applications. $1 per application cost to do employment verification. 96% pass verification and get a card. 4% fail and do not get cards. Given average profits on cardholders in good standing, and average losses on accounts that default, find the % of denied cardholders that would have to default in order to justify the $1 per application verification cost .

This question came up in the set venn diagram test. Out of 120 students, those with ID's that are even numbers are doing Physics, and all with ID's divisible by 5 are doing Chemistry, and all with ID's divisible by 7 are doing Maths. How many are doing Physics AND Maths? How many are doing Maths and Chemistry? How many are doing neither subject? etc..
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Graduate IT Consultant

Interviewed at FDM Group

3.1★
May 18, 2014

This question came up in the set venn diagram test. Out of 120 students, those with ID's that are even numbers are doing Physics, and all with ID's divisible by 5 are doing Chemistry, and all with ID's divisible by 7 are doing Maths. How many are doing Physics AND Maths? How many are doing Maths and Chemistry? How many are doing neither subject? etc..

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