CFA Practice Question
Consider the following time plot of the price of a commodity (in dollars) for each month of a 60-month period.
II. The time plot displays a trend.
Which of the following is (are) true about the time plot?
I. The increase in the price of the commodity from month 1 to month 60 is $7.
II. The time plot displays a trend.
Correct Answer: II only
The price of the commodity in month 1 is approximately $1 and the price of the commodity at month 60 is approximately $7. This corresponds to an increase of $6. If you thought statement I was correct, you were only looking at the price at month 60, not at the change in price.
User Contributed Comments 4
| User | Comment |
|---|---|
| DonAnd | Got that one correct! |
| sogah | Good job DonAnd!!!! |
| enetis | if only all CFA questions were like this.... |
| Olesya_CFA | Then everyone would pass those tests and CFA value would fall. |