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Bloomberg Data Science Interview Questions & Answers

Curated interview practice questions with answers. These are practice scenarios, not a verified list of past interview questions.

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01

What is tokenisation in NLP?

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Splitting text into units such as words, subwords or characters that are mapped to ids; subword methods like BPE handle rare words well.
02

How do you design an A/B test?

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Define the hypothesis and one primary metric, calculate sample size from the baseline, minimum detectable effect, α and power, randomise users, run for full business cycles, check for sample-ratio mismatch, then test both statistical and practical significance.
03

How does a decision tree decide where to split?

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It tries candidate splits and picks the one that most reduces impurity — Gini or entropy (information gain) for classification, variance / MSE for regression.
04

What is NumPy broadcasting?

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The rule that lets arrays of different shapes operate together by virtually stretching the smaller one, for example adding a scalar or a (3,) vector to a (4,3) matrix.
05

What is the difference between generative and discriminative models?

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Discriminative models learn P(y given x) directly (logistic regression, SVM). Generative models learn the joint P(x, y) and can generate data (Naive Bayes, GANs).
06

What is a confusion matrix?

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A table of true positives, false positives, true negatives and false negatives from which accuracy, precision, recall and F1 are calculated.
07

What is stacking in ensemble learning?

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Training a meta-model on the predictions of several base models, often using cross-validated predictions to avoid leakage.
08

Explain train, validation and test sets.

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Train fits the model, validation tunes hyperparameters and model choice, and the untouched test set gives a final unbiased estimate of performance.
09

What are Python's main built-in data types?

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int, float, complex, bool, str, list, tuple, set, dict and NoneType. Mutable ones are list, set and dict; the others are immutable.
10

Which activation functions do you know and when to use them?

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ReLU for hidden layers, sigmoid for binary outputs, softmax for multi-class outputs and tanh when zero-centred outputs help; Leaky ReLU avoids dead neurons.
11

What is the bias–variance trade-off?

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Bias is error from overly simple assumptions (underfitting). Variance is sensitivity to the training data (overfitting). More model complexity lowers bias but raises variance — aim for the lowest total error using cross-validation and regularization.
12

What is skewness?

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A measure of asymmetry. Right-skewed data has a long tail on the right (mean greater than median); left-skewed is the opposite. Log transforms often reduce right skew.
13

What is a neural network?

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Layers of connected neurons that apply weights, biases and activation functions to learn complex patterns, trained by backpropagation.
14

How does the Gini impurity differ from entropy?

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Both measure node impurity; Gini is cheaper to compute and entropy is slightly more sensitive to class balance, with similar trees in practice.
15

What is a p-value?

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The probability of seeing a result at least as extreme as the observed one if the null hypothesis were true. A small p-value is evidence against the null, not proof that the alternative is true.
16

What is regularization? Explain L1 vs L2.

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Regularization adds a penalty on weights to reduce overfitting. L1 (Lasso) adds |w| and can push features to exactly zero. L2 (Ridge) adds w² and shrinks weights smoothly.
17

What are decorators in Python?

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A decorator wraps a function to add behaviour such as logging, timing or caching without changing its code. It is applied with the @name syntax above the function.
18

Explain the KNN algorithm and its drawbacks.

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It predicts from the k nearest labelled points. It is simple but slow at prediction time, sensitive to scaling and irrelevant features, and weak in high dimensions.
19

What is a Poisson distribution used for?

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Modelling the count of events in a fixed interval when events occur independently at a constant average rate, such as calls per hour or defects per batch.
20

What is data leakage?

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Information from outside the training window, such as future data or test statistics, enters training and inflates performance. Split first, then fit scalers and encoders on training data only.
21

How do transformers differ from RNNs?

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Transformers use self-attention to process all tokens in parallel and capture long-range context, making them faster to train and more scalable than sequential RNNs.
22

What is the difference between supervised and unsupervised learning?

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Supervised learning trains on labelled data to predict a target; unsupervised learning finds structure such as clusters or components in unlabelled data.
23

How does dropout work?

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During training it randomly switches off a fraction of neurons so the network cannot depend on any single unit, acting as a regulariser against overfitting.
24

How would you optimise a slow Pandas pipeline on a 5 GB file?

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Read in chunks or use usecols and dtypes, convert strings to category, avoid apply with row loops in favour of vectorised ops, and consider Polars, Dask or Parquet storage.
25

What is correlation and why does it not imply causation?

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Correlation measures linear association between variables (-1 to 1). A third factor, reverse causality or chance can create it, so causation needs controlled experiments.
26

What are lambda functions and where are they useful?

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Small anonymous one-line functions, handy as arguments to sort, map, filter or Pandas apply.
27

How does linear regression work and what are its assumptions?

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It fits a line minimising squared error. Assumes linearity, independent errors, constant variance (homoscedasticity), normally distributed residuals and no strong multicollinearity.
28

Explain logistic regression.

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It models the log-odds of a binary outcome as a linear function and passes it through a sigmoid to give probabilities, trained by maximising likelihood.
29

What is statistical power and how can you increase it?

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Power is the probability of detecting a real effect. Increase it with a larger sample, a bigger effect size, lower noise or a higher significance level.
30

What is overfitting and how do you prevent it?

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The model memorises noise and fails on new data. Prevent it with more data, simpler models, regularisation, cross-validation, early stopping and dropout.
31

Explain the chi-square test.

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It checks whether observed category counts differ from expected counts, used for independence between two categorical variables and for goodness of fit.
32

How do you perform feature selection?

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Use filter methods (correlation, chi-square), wrapper methods (RFE), embedded methods (Lasso, tree importance) and domain knowledge, validating each choice with cross-validation.
33

What is feature scaling and which models need it?

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Putting features on comparable ranges using standardisation or min-max scaling. Distance-based and gradient-based models (KNN, SVM, regression, neural nets) need it; tree models do not.
34

How does K-means clustering work and how do you choose k?

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It assigns points to the nearest centroid and updates centroids until stable. Choose k with the elbow method, silhouette score or business context.
35

What is the difference between iterators and iterables in Python?

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An iterable can produce an iterator (it has __iter__); an iterator has __next__ and remembers its position. A for-loop calls iter() on the iterable and then next() repeatedly.
36

What is the Global Interpreter Lock (GIL)?

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A mutex in CPython that lets only one thread execute Python bytecode at a time. Use multiprocessing for CPU-bound work and threads or asyncio for I/O-bound work.
37

Explain Bayes' theorem with an example.

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P(A given B) = P(B given A) x P(A) / P(B). In a medical test it converts test accuracy and disease prevalence into the real chance a positive result means disease.
38

How do you choose a learning rate for a neural network?

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Start with a sensible default such as 1e-3 for Adam, run a learning-rate range test, and use schedulers or warm-up while watching the loss curve.
39

What is the vanishing gradient problem?

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Gradients shrink as they pass through many layers (for example with sigmoid), so early layers barely learn. ReLU, residual connections and good initialisation help.
40

What is a confidence interval?

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A range built from sample data that would contain the true parameter in a stated percentage (for example 95%) of repeated samples. It is not the probability that the parameter lies inside this one interval.
41

What is multicollinearity and how do you handle it?

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Predictors that are highly correlated make coefficients unstable. Detect with VIF above about 5-10, then drop or combine features, use PCA or apply regularisation.
42

What are RNNs and why did LSTMs improve them?

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RNNs process sequences with a hidden state but struggle with long dependencies. LSTMs add gates that control what to remember or forget, easing the vanishing gradient.
43

What is the difference between apply, map and applymap in Pandas?

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map works element-wise on a Series, apply works on a Series or along a DataFrame axis, and applymap (now DataFrame.map) applies a function to every cell.
44

How do you detect and treat concept drift?

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Monitor input distributions and live metrics, compare to training baselines, and retrain or recalibrate on fresh data when performance drops.
45

What is Naive Bayes and why is it called naive?

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It applies Bayes' theorem assuming features are independent given the class. The assumption is rarely true but the model is fast and works well for text.
46

Explain the Law of Large Numbers.

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As the number of independent trials grows, the sample average converges to the true expected value, which is why larger samples give more stable estimates.
47

Explain ROC curve and AUC.

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The ROC curve plots true positive rate against false positive rate across thresholds. AUC is the probability that a random positive is ranked above a random negative; 0.5 is chance.
48

Difference between a shallow copy and a deep copy?

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A shallow copy duplicates the outer object but shares nested objects. A deep copy (copy.deepcopy) recursively duplicates everything, so changes to nested items do not leak.
49

What are *args and **kwargs?

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*args collects extra positional arguments into a tuple; **kwargs collects extra keyword arguments into a dict. They make function signatures flexible and are common in wrappers and decorators.
50

Correlation vs covariance?

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Covariance shows the direction of a relationship but depends on units. Correlation is covariance scaled to −1…+1, so it shows direction and strength and is unit-free.