Question: A university is applying classification methods in order to identify alumni who may be interested in donating money. The university has a database of 58,205

A university is applying classification methods in order to identify alumni who may be interested in donating money. The university has a database of 58,205 alumni profiles containing numerous variables. Of these 58,205 alumni, only 576 have donated in the past. The university has oversampled the data and trained a random forest of 100 classification trees. For a cutoff value of 0.5, the following confusion matrix summarizes the performance of the random forest on a validation set:

a. Explain how the probability of Donation was computed for the three observations. Why were Observations A and C classified as Donation and Observation B was classified as No Donation?

b. Compute the values of accuracy, sensitivity, specificity, and precision.

Explain why accuracy is a misleading measure to consider in this case.

Evaluate the performance of the random forest, particularly commenting on the precision measure.

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