- 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

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**CFA Practice Question**

Increasing the confidence level while keeping other values constant has what effect on the width of the confidence interval?

A. There is not enough information to determine the effect.

B. The error of estimate increases; therefore, the width of the interval increases.

C. The error of estimate decreases; therefore, the width of the interval decreases.

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**User Contributed Comments**
2

User |
Comment |
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janis36 |
What exactly is 'the confidence level'? Can someone explain? |

will080912 |
alpha (5%)= level of significant 95%= confidence level |