- CFA Exams
- CFA Level I Exam
- Topic 1. Quantitative Methods
- Learning Module 3. Probability Concepts
- Subject 1. Introduction
CFA Practice Question
For the bar graph of random variable x shown below:
B. P(x > 0) = 0
C. P(x <= 5) = 1
D. expected value of x is 1
A. mean = 1.2
B. P(x > 0) = 0
C. P(x <= 5) = 1
D. expected value of x is 1
Correct Answer: C
The sum of all the P(x)s is 1 for any probability distribution. Now, P(x) <= 5 is the sum of all the P(x)s. So, P(x <= 5) = 1.
User Contributed Comments 7
| User | Comment |
|---|---|
| Yooo | P(x)< or = 5 is 1. The P(x)< 5 is approx. .82 |
| mtcfa | This histogram is somewhat misleading, as per the last section the highest value would be 5.5. |
| hoiletab | That's what i was led to believe initially but really and truly none of the other answers can be logically considered. I think this is a case of choosing the best suited answer is you have a problem interpreting the data. agree? |
| adenisov | Well, that's the point how to understand the picture. I saw it as x is integer, not real, so the is only 6 possible outcomes. Like a dice with different weights on sides. |
| surjoy | Thats not how I interpreted. P(x=50) = .2 P(x=4) = .35 P(x=3) = .3 p(x=2) = .15 p(x=1) = 0 |
| johntan1979 | Not perfect but C is the best possible answer. All other options are way off. |
| khalifa92 | all probabilities are x<=5 |