- 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 survey of 144 retail stores revealed that a particular brand and model of VCR retails for $375 with a standard deviation of $20. If 90% and 95% confidence intervals are developed to estimate the true cost of the VCR, what similarities would they have?
A. point estimates
B. standard errors
C. both point estimates and standard errors
Explanation: The point estimates and the standard errors will be the same. The z-values will differ according to the area under the curve.
User Contributed Comments 2
| User | Comment |
|---|---|
| djop2002 | what is the point estimates? |
| djop2002 | OK :Point estimate is the value of a sample statistic of the population parameter. |