CFA Level 1 Probability problems, background, individual, tend

wonderfuldream

Hi Guys,

I desperately need some help on Quantative Finance, expecially probability. I have read all the Schweser notes and solved all problems behind each chapter. When i solve questions behind individual chapters, i tend to do reasonably well, but i am doing not so well on the QBank Probability questions. Although i can retain the formulas in memory for a few days, i tend to forget some of them when i move onto other topics.

As i have no background in Finance/Accounting, i am finding it a little hard digesting Common Probability Distributions, Sample Distributions/Estimation and Hyphothesis testing.

Any tips on how i can overcome this??

Given i have 7 weeks for the June exam, it is advisable to focus more on the material or just solve questions. I am beginning to realise the sheer amount of information that must be retrained in memory for the exam is surely not easy.

I intend to solve all QBank questions for all topics and also intend to solve 4 Schweser exam papers.

Any guidance/tips will be extremely useful.

kd26gioi

Post a question that you have and read how others solve it. The test is more about solving the problems than knowing ALL the written material.

Let me ask you a few questions: Don't look at your notes...

Do you know the difference between Type I and Type II Errors?

For a non-normal distribution with a known variance, what test statistic would you LEAST LIKELY use?
I.)z-statistic
II.)t-statistic
III.)z-statistic and t-statistic

What is MOST LIKELY a confidence interval for a standard normal distribution?
a.) 69% be within one standard deviations of the mean
b.) 96% be within two standard deviations of the mean
d.) 99% be within four standard deviations of the mean
c.) 95% be within two standard deviations of the mean

These questions should take you no more than a minute? If not, memorize those tables...

disiz64

Hi mdalal,

there are several ways to overcome your problem:

- try to solve as many problems as possible, you will understand more and more by doing this,
- confer the Schweser lecture notes again,
- confer any university book on statistics,
- confer our lecture notes.

Best wishes,

Daniel
@#$%&