CFA Practice Question

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CFA Practice Question

The central limit theorem states that the sampling distribution of sample means is ______.

I. normal regardless of the sample size
II. normal regardless of the population distribution
III. normal if the population is normal
IV. approximately normal if samples of size 30 or more are taken
A. I and II
B. III and IV
C. II and IV
Explanation: No matter what the shape of the original distribution is, the x-bar approaches a normal distribution as the sample size increases.

User Contributed Comments 3

User Comment
jayj001 Would II hold if n<30?
superbus no
dbalakos approximately normal in II or not?
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