CFA Practice Question

CFA Practice Question

Which of the following random variables has an approximate normal distribution?
A. The page number that you get from opening a book randomly (each page has an equal probability of being picked).
B. The mean of page numbers of 1,000 pages opened randomly from any book (each page selection being random, and not influenced by what has been drawn before, that is sampling with replacement).
C. Number of CFA candidates who have passed all 3 levels of the CFA in a sample of 15 CFA candidates who appeared for CFA Level I examination in 2005.
Explanation: By the Central Limit Theorem. Each page number draw with replacement is an identical random variable, and calculating the mean requires us to add these 1,000 identical random variables (mean = sum/1,000). The other distributions are an uniform distribution, and a binomial distribution.

User Contributed Comments 2

User Comment
pstebelp Why not A?
jingie A is uniform because you have the exact same probably of picking any page at random.
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