Free Questions › CFA › Quantitative Methods

Free CFA Quantitative Methods Practice Questions & Answers

1,200 exam-style Quantitative Methods questions. Pick your answer, hit Check answer, and see the worked solution — free to start, no signup.

100% free · No login to start

Question 151

Residual autocorrelation tests are needed because:

Select an option first.

Question 152

If none of the residual autocorrelations are significant, we conclude:

Select an option first.

Question 153

A mean‑reverting series tends to:

Select an option first.

Question 154

In an AR(1) model, the mean‑reverting level is:

Select an option first.

Question 155

If the current value is above the mean‑reverting level, the next forecast will:

Select an option first.

Get the full CFA question bank — free

Drop your email and we'll send you fresh CFA practice questions, fully worked solutions and exam-deadline reminders. No spam — unsubscribe in one click.

Want to save your score and take a full mock exam? Create a free account →

Question 156

A series with a lag coefficient of 0.2 reverts:

Select an option first.

Question 157

Mean reversion occurs only when the lag coefficient is:

Select an option first.

Question 158

A one‑period‑ahead forecast in an AR(1) model uses:

Select an option first.

Question 159

A two‑period‑ahead forecast requires:

Select an option first.

Question 160

Multiperiod forecasts are more uncertain because:

Select an option first.

Question 161

In an AR(1) model, the two‑period‑ahead forecast uses the lag coefficient:

Select an option first.

Question 162

If the lag coefficient is close to 1, multiperiod forecasts:

Select an option first.

Question 163

An AR(2) model uses:

Select an option first.

Question 164

If an AR model has uncorrelated residuals, it is likely:

Select an option first.

Question 165

A lag coefficient greater than 1 in absolute value implies:

Select an option first.

Question 166

The error term in an AR model is assumed to have:

Select an option first.

Question 167

A high lag coefficient close to 1 indicates:

Select an option first.

Question 168

A random walk is:

Select an option first.

Question 169

A time series with constant variance but changing mean is:

Select an option first.

Question 170

A model with serially correlated errors violates:

Select an option first.

Question 171

A time series with no predictable pattern and no autocorrelation is best described as:

Select an option first.

Question 172

A stationary AR(1) series will eventually converge toward:

Select an option first.

Question 173

A time series with a unit root is best described as:

Select an option first.

Question 174

First‑differencing a time series is typically used to:

Select an option first.

Question 175

A covariance‑stationary time series must have:

Select an option first.

Question 176

A random walk is an example of a process that:

Select an option first.

Question 177

A series that steadily increases over time is most likely:

Select an option first.

Question 178

A stationary series has autocovariances that depend only on:

Select an option first.

Question 179

Using a non‑stationary series directly in regression often leads to:

Select an option first.

Question 180

A random walk with drift differs from a pure random walk because it:

Select an option first.

Before you go, can we ask you one thing?

Thank you

Free CFA Quantitative Methods Practice Questions & Answers

Privacy Preference

Before you go, can we ask you one thing?

Thank you