- CFA Exams
- CFA Level I Exam
- Study Session 3. Quantitative Methods (2)
- Reading 11. Hypothesis Testing
- Subject 10. Hypothesis Tests Concerning Mean Differences (Paired Comparisons Test)

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**CFA Practice Question**

Which of the following statements is not true when it comes to conducting hypothesis tests for differences between population means and mean differences (paired comparison tests)?

A. A paired comparison test must use n-1 degrees of freedom, where n equals the number of paired observations.

B. When conducting a test for the difference between the means of two populations that are independent, an assumption must be made as to whether the population variances are equal or not.

C. It is possible to conduct these types of tests even if the underlying populations are not normally distributed.

**Explanation:**When conducting hypothesis tests for differences between population means and mean differences (paired comparison tests), it is imperative that the underlying populations be normally distributed.

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