(2 points) The chartered financial analyst (CFA) is a designation earned after t
ID: 3045613 • Letter: #
Question
(2 points) The chartered financial analyst (CFA) is a designation earned after taking three annual exams (CFA I,II, and I). The exams are taken in early June. Candidates who pass an exam are eligible to take the exam for the next level in the following year. The pass rates for levels I, II, and Ill are 0.59, 0.75, and 0.84, respectively. Suppose that 3,000 candidates take the level I exam, 2,500 take the level lI exam and 2,000 take the level Ill exam. Suppose that one of the 7,500 candidates is selected at random. What is the probability that he or she passes the exam? Probability =Explanation / Answer
P(Passes the exam)
= (3000/7500) * 0.59 + (2500/7500) * 0.75 + (2000/7500) * 0.84
= 0.71
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.