CFA Level 1 Practice Test 35 Questions Answer Keys AMBIPi

Hi CFA Aspirants, welcome to AKVTutorials. Are you preparing for CFA Level 1, 2, 3 exams for making a career in CFA (Charted Financial Analyst). According to CFA Wikipedia, CFA The Chartered Financial Analyst (CFA) program is a postgraduate professional certification offered internationally by the American-based CFA Institute. A candidate who successfully completes the program and meets other professional requirements is awarded the “CFA charter” and becomes a “CFA charter holder”. Therefore, you need CFA Study Notes and CFA Level 1 Practice Test 35 Questions Answer Keys AMBIPi.

In this article, you will get Free CFA Level 1 Mock Exam Practice Questions.

Free CFA Level 1 Mock Practice Exam Questions Bank

Free CFA Level 1 Practice Question No: 341:

What simple annual interest rate would cause a $200 deposit to earn $15 interest in one year?

Option A: 5.00%.

Option B: 12.50%.

Option C: 10.25%.

Option D: 7.5%.

Option E: 6.67%.

Show/Hide Answer

Option D : 7.5%.

To solve this question, rearrange the simple interest formula I = PRT to isolate R.

On the BAll Plus, press 15 divide 200 divide 1 = to see the answer. On the HP12C, press 15 ENTER 200 divide 1 divide to see the answer. Note that the final division by 1 (which is the time T in this question) is not necessary.

CFA Level 1 Exam Question No: 342:

What percent of the observations will lie above the mean plus two standard deviations?

Option A: 5%.

Option B: 68%.

Option C: 2.5%.

Option D: None of these answers.

Option E: 95%.

Show/Hide Answer

Option C : 2.5%.

95% of the observations lie between plus and minus two standard deviations from the mean. Therefore, 2.5% lie over and above two standard deviations on each side of the mean.

Free CFA Level 1 Mock Exam Question No: 343:

Given the following points: (-2, 0), (-1,0), (0, 1), (1, 1) and (2, 3).
What is the critical value necessary to determine a confidence interval for a 90% level of confidence?

Option A:1.638.

Option B: 1.533.

Option C: None of these answers.

Option D: 2.132.

Option E: 2.353.

Show/Hide Answer

Option E : 2.353.

Look at the t tables for n-2 degrees of freedom at the 10% level. Here, we look for a two tailed test with 5-2 = 3 degrees of freedom. This is 2.353.

CFA Level 1 Free Practice Question No: 344:

If you deposit $250 a month, beginning next month, for 20 years into an account paying 7% per year, compounded monthly, how much is in your account after that last deposit?

Option A: $58,205.58.

Option B: $308,663.09.

Option C: $148,833.09.

Option D:$147,577.02.

Option E: $130,231.66.

Show/Hide Answer

Option E : $130,231.66.

On the BAIl Plus, press 240 N, 7 divide 12 = I/Y, 0 PV, 250 PMT, CPT FV.

On the HP12C, press 240 n, 7 ENTER 12 divide i, 0 PV, 250 PMT, FV. On the BAll Plus, make sure the value of P/Y is set to 1. Note that the answer is displayed as a negative number.

Free CFA Practice Question No:345:

If you need $25,000 in 10 years, how much must you deposit today, if your money will earn 6% per year, compounded annually?

Option A: $25,000.

Option B: $13,959.87.

Option C: $2,320.01.

Option D: $44,771.19.

Option E: $23,200.08.

Show/Hide Answer

Option B : $13,959.87

On the BAII Plus, press 10 N, 6 I/Y, 0 PMT, 25000 FV, CPT PV. On the HP12C, press 10 n, 6 i, 0 PMT, 25000 FV, PV. Note that the answer will be shown as a negative number.

CFA Level 1 Sample Question No: 346:

How much would you have in a savings account 12 months from now if you start with à balance of $3,000 today, make a deposit of $1,000 in 6 months and make another deposit 6 months after that of $500? Assume that interest accrues at 6% per year, compounded monthly.

Option A: $4,684.42.

Option B: $4,777.55.

Option C: $4,715.41.

Option D: $4,500.00.

Option E: $2,500.00.

Show/Hide Answer

Option C : $4,715.41.

Find the answer to this question by solving a couple of compound interest problems. Move the $3,000 to month 12, then move the $1,000 forward 6 months to month 12, then add $500. On the BAll Plus, press 12 N, 6 divide 12 = I/Y, 3000 PV, 0 PMT, CPT PV. Then press STO 1. Then press 6 N, 1000 PV, CPT FV. Then press + RCL 1 =. Make this number positive by pressing +/- and then press + 500 to see the answer. On the HP12C, press 12 N, 6 ENTER 12 divide i, 3000 PV, O PMT, FV. Then press STO 1. Then press 6 N, 1000 PV, FV. Then press RCL 1 +.
Make this number positive by pressing CHS and then press 500 + to see the answer. Make sure that the BAll Plus has the value of P/Y set to 1.

Free CFA Level 1 Quiz Question NO: 347:

If you deposit $1,111 a year, beginning next year, for 20 years into an account paying 7% per year, compounded annually, how much is in your account after that last deposit?

Option A: $50,598.15.

Option B: $47,003.98.

Option C: $45,545.99.

Option D: $30,118.37.

Option E: $48,304. 12.

Show/Hide Answer

Option C : $45,545.99.

On the BAII Plus, press 20 N, 7 I/Y, 0 PV, 1111 PMT, CPT FV. On the HP12C, press 20 n, 7 i, 0 PV, 1111 PMT, FV. On the BAII Plus, make sure the value of P/Y is set to 1. Note that the answer is displayed as a negative number.

Free CFA Level 1 Quiz Question NO: 348:

The standard normal probability distribution is one which has:

Option A: a mean of 0 and any standard deviation.

Option B: a mean of 0 and a standard deviation of 1.

Option C: any mean and a standard deviation of 1.

Option D: a mean of 1 and any standard deviation.

Option E: none of these answers are correct.

Show/hide answer

Option B : a mean of 0 and a standard deviation of 1.

The standard normal probability distribution has a mean of 0 and std. deviation of 1.

Free CFA Practice Question No: 349:

If you deposit $400 today into an account paying 8% per year, compounded quarterly, how much will be in the account after 42 months?

Option A: $10,135.79.

Option B: $1,174.88.

Option C: $918.90.

Option D: $927.54.

Option E: $527.79.

Show/Hide Answer

Option E : $527.79.

There are 14 quarter’s in 42 months (42 divide 3 =). On the BAII Plus, press 14 N, 8 divide 4 = I/Y, 400 PV, 0 PMT, CPT FV. On the HP12C, press 14 n, 8 ENTER 4 divide i, 400 PV, 0 PMT, FV. Note that the answer will be displayed as a negative number. Make sure the BAII Plus has the value of P/Y set to 1.

CFA Mock Exam Free Question No: 350:

A market survey was conducted to estimate the proportion of homemakers who could recognize the brand name of a cleanser based on the shape and color of the container. Of the 1,400 homemakers, 420 were able to identify the brand name. Using the 0.99 degree of confidence, the population proportion lies within what interval?

Option A: 0.250 and 0.350.

Option B: 0.268 and 0.332.

Option C: 0.950 and 0.997.

Option D: 0.100 and 0.400.

Option E: None of these answers.

Show/Hide Answer

Option B : 0.268 and 0.332.

Interval estimate car be found from p +/- z[p(1-p)/n]^0.5. Here we have n = 1400, p = 414/1400 = 0.3 and z = 2.58 (for 99%). Therefore 0.3 +/- 2.58*0.01225 and we get 0.268 and 0.332.

CFA Notes Materials and QBanks

CFA Level 1 Notes
CFA Level 1 QBank: 1 to 10CFA Level 1 QBank: 11 to 20
CFA Level 1 QBank: 21 to 30CFA Level 1 QBank: 31 to 40
CFA Level 1 QBank: 41 to 50CFA Level 1 QBank: 51 to 60
CFA Level 1 QBank: 61 to 70CFA Level 1 QBank: 71 to 80
CFA Level 1 QBank: 81 to 90CFA Level 1 QBank: 91 to 100
CFA Level 1 QBank: 101 to 110CFA Level 1 QBank: 111 to 120
CFA Level 1 QBank: 121 to 130CFA Level 1 QBank: 131 to 140
CFA Level 1 QBank: 141 to 150CFA Level 1 QBank: 151 to 160
CFA Level 1 QBank: 161 to 170CFA Level 1 QBank: 171 to 180
CFA Level 1 QBank: 181 to 190CFA Level 1 QBank: 191 to 200
CFA Level 1 QBank: 201 to 210CFA Level 1 QBank: 211 to 220
CFA Level 1 QBank: 221 to 230CFA Level 1 QBank: 231 to 240
CFA Level 1 QBank: 241 to 250CFA Level 1 QBank: 251 to 260
CFA Level 1 QBank: 261 to 270CFA Level 1 QBank: 271 to 280
CFA Level 1 QBank: 281 to 290CFA Level 1 QBank: 291 to 300
CFA Level 1 QBank: 301 to 310CFA Level 1 QBank: 311 to 320
CFA Level 1 QBank: 321 to 330CFA Level 1 QBank: 331 to 340
CFA Level 1 QBank: 341 to 350CFA Level 1 QBank: 351 to 360
CFA Level 1 QBank: 361 to 370

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