- CFA Exams
- CFA Exam: Level I 2021
- Study Session 3. Quantitative Methods (2)
- Reading 9. Common Probability Distributions
- Subject 6. The Normal Distribution

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**CFA Practice Question**

Which of the following statements about a normal distribution is the LEAST ACCURATE? A normal distribution ______.

B. is completely described by two parameters

C. can be the linear combination of two or more normal random variables

A. has an excess kurtosis of 3

B. is completely described by two parameters

C. can be the linear combination of two or more normal random variables

Correct Answer: A

A normal distribution has a kurtosis of 3. Its excess kurtosis (kurtosis - 3.0) equals zero.

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**User Contributed Comments**
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User |
Comment |
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Rachelle3 |
think of the PEAKS! |