I did a Schweser mock today, and one of the questions required the calculation of required return in part A, and then used that return as an input for parts B and C.
I made a small mistake in the calculation of part A (accounted for tax after inflation when the questions stated to do so before inflation). My calculations for parts B and C were incorrect, but only because I was using an incorrect return in those calculations.
The CFA guidelines say that “partial credit may be awarded for correct formulas and inputs even when answers are incorrect.” However, my answers in part B and C were vastly different due to the small mistake I made. In fact, it changed the corner portfolios I would use.
Do official CFA exams have questions where later parts of the question depend on your answer from an earlier part? If so, is it possible to get full marks for the later portion if using an incorrect input? The difference for this mock was over 6%, so I’m kind of concerned something similar might show up on the real thing.