Question: In a study focused on better understanding loan debt, Abdullah developed a decision tree. A colleague of his saw the diagram below and asked Abdullah
In a study focused on better understanding loan debt, Abdullah developed a decision tree. A colleague of his saw the diagram below and asked Abdullah what it represented. His response was

The split points presented represent the MSE calculated points for Age =35. The MAD of the single age predictor is $42,964 and $32,980 respectfully. The MSE split for Age =35 is between the two partitions of $42,964 and $32,980, respectfully. The average loan debt balance of the two partitions are $42,964 and $32,980, respectfully, when Age =35
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