Predict Tip Percentage

Quick Overview

Derive tip as a percentage of total fare, build a predictive model for that target, estimate performance on an appropriate sample, and explain the methodology and results.

Predict Tip Percentage

Company: Capital One

Role: Software Engineer

Category: Machine Learning

Difficulty: medium

Interview Round: Online Assessment

# Predict Tip Percentage Create a derived target for tip as a percentage of total fare, then design and evaluate a predictive model for that target using green-taxi trip records. Explain feature timing, data cleaning, validation, performance metrics, and limitations. ### Constraints & Assumptions - Define behavior when total fare is zero, negative, missing, or internally inconsistent. - Do not use information unavailable at the intended prediction time. - Tip recording may depend on payment type, so missing or zero tips may not mean the same thing for every trip. ### Clarifying Questions to Ask - Is prediction made before pickup, during the trip, or after fare calculation? - Does total fare include the tip, and should the denominator instead be pre-tip charges? - Is the goal point prediction, ranking, or identifying likely high-tip trips? ```hint Audit the target before modeling The denominator and payment mechanism can create extreme values, censoring, or leakage before any model is trained. ``` ### What a Strong Answer Covers - A precise target and invalid-denominator policy. - Leakage-safe features and temporal or grouped validation. - Simple baselines, suitable losses and metrics, and calibration or residual analysis. - Segment performance, interpretability, and responsible use. ### Follow-up Questions - How would you model the large mass at zero? - What drift would you expect if payment behavior changes?

Overview: Derive tip as a percentage of total fare, build a predictive model for that target, estimate performance on an appropriate sample, and explain the methodology and results.

|Home/Machine Learning/Capital One
Capital One logo
Capital One
Sep 27, 2020
mediumSoftware EngineerOnline AssessmentMachine Learning
2
0

Predict Tip Percentage

Create a derived target for tip as a percentage of total fare, then design and evaluate a predictive model for that target using green-taxi trip records. Explain feature timing, data cleaning, validation, performance metrics, and limitations.

Constraints & Assumptions

  • Define behavior when total fare is zero, negative, missing, or internally inconsistent.
  • Do not use information unavailable at the intended prediction time.
  • Tip recording may depend on payment type, so missing or zero tips may not mean the same thing for every trip.

Clarifying Questions to Ask Guidance

  • Is prediction made before pickup, during the trip, or after fare calculation?
  • Does total fare include the tip, and should the denominator instead be pre-tip charges?
  • Is the goal point prediction, ranking, or identifying likely high-tip trips?

What a Strong Answer Covers Guidance

  • A precise target and invalid-denominator policy.
  • Leakage-safe features and temporal or grouped validation.
  • Simple baselines, suitable losses and metrics, and calibration or residual analysis.
  • Segment performance, interpretability, and responsible use.

Follow-up Questions Guidance

  • How would you model the large mass at zero?
  • What drift would you expect if payment behavior changes?
Loading comments...