- CFA Exams
- CFA Level I Exam
- Study Session 3. Quantitative Methods (2)
- Reading 10. Sampling and Estimation
- Subject 6. Confidence Intervals for the Population Mean

###
**CFA Practice Question**

Which of the following is a true statement regarding the comparison of t-distributions to standard normal distributions?

II. The proportion of area beyond a specific value of t is less than the proportion of area beyond the corresponding value of z.

III. The greater the df, the more the t-distributions resemble the standard normal distribution.

I. Normal distributions are symmetrical whereas t-distributions are slightly skewed.

II. The proportion of area beyond a specific value of t is less than the proportion of area beyond the corresponding value of z.

III. The greater the df, the more the t-distributions resemble the standard normal distribution.

A. III only

B. I and III

C. II and III

###
**User Contributed Comments**
2

User |
Comment |
---|---|

ledyba |
anyone could explain why II is not correct, please? |

Profache |
the t-distribution has fatter tails, therefore the proportion of the area is larger in the t-distribution. |