- CFA Exams
- CFA Level I Exam
- Topic 1. Quantitative Methods
- Learning Module 7. Estimation and Inference
- Subject 2. The Central Limit Theorem and Inference
CFA Practice Question
A population has a standard deviation of 15. In a sample size of 35, the estimated mean will have a standard error of ______.
A. 2.33
B. 2.54
C. 0.43
Explanation: According to the central limit theorem, the sample mean has a standard deviation of SDPop/n1/2, where n is the sample size. In this case, standard error = 15/351/2 = 2.54.
User Contributed Comments 1
| User | Comment |
|---|---|
| Mikehuynh | Standard error = SD/(n)1/2 |